GIFT  OF 


Handbook 


Life  Insurance 

and  Annuity  Policies 

for  Teachers 


(^Teachers 
nsurance  and  Annuity  Association 

of  America 

522  Fifth  Avenue,  New  York 
1922 


Handbook 

of 

Life  Insurance 

and  Annuity  Policies 

for  Teachers 


Teachers 
Insurance  and  Annuity  Association 

of  America 

522  Fifth  Avenue,  New  York 
1922 


TEACHERS  INSURANCE 
AND  ANNUITY  ASSOCIATION 

OF  AMERICA 

Frank  A.  Vanderlip     CHAIRMAN  OF  THE  BOARD 

Henry  S.  Pritchett  PRESIDENT 

Michael  A.  Mackenzie  VICE-PRESIDENT 

Clyde  Furst  SECRETARY 

Robert  A.  Franks  TREASURER 

Eugene  F.  Russell,  M.D.  MEDICAL  DIEECTOR 

Raymond  L.  Mattocks  ACTUARY 

Samuel  S.  Hall,  Jr.  ASSISTANT  TREASURER 

TRUSTEES 

George  J.  Baldwin      Vice-President,  American  Inter- 
national Corporation 

Allen  B.  Forbes    of  Harris,  Forbes  and  Company 
Robert  A.  Franks     Treasurer,  Carnegie  Corporation 

James  W.  Glover      Professor  of  Mathematics  and  In- 
surance, University  of  Michigan 

Frederick  A.  Goetze     Treasurer,  Columbia  University 
Samuel  S.  Hall     Associate  Actuary,  Mutual  Life  Insur- 
ance Company  of  New  York 

Samuel  McCune  Lindsay       Professor  of  Social  Legis- 
lation, Columbia  University 

Michael  A.  Mackenzie    Professor  of  Mathematics,  in- 
cluding Insurance,  University  of  Toronto 
Charles  E.  Mitchell  President,  National  City  Bank 
Henry  S.  Pritchett     President,  Carnegie  Foundation 
Alfred  Z .  Reed     Carnegie  Foundation 
Elihu  Root,  Jr.      of  Root,  Clark,  Buckner  and  Rowland 

Frank  A.  Vanderlip     Chairman,  American  International 
Corporation 

Walter  Vaughan    Ex-Secretary,  McGill  University 
George  Whitney    of  J.  P.  Morgan  &  Co. 


.-fr 


Contents 


PAGE 


I  Teachers  Insurance  and  Annuity 
Association  of  America,  Growth, 
Dividends  7 

II  Outline  of  Subject  Matter  11 

III  Deferred  Annuity  Contract, 
Teachers  Retirement  Plan  1* 

Description,  12 

Amounts  of  Annuities  (table),  22 
Additional  Annuity  (table),  25 
Accumulation  of  $10  monthly  (table),  26 
Optional  Modes  of  Settlement  (table),  27 

IV  Life  Insurance  Policies  28 

Description  (general),  28 

Decreasing  Life,  37 

Term,  41 

Whole  Life,  Limited  Payment  Life,  58 

Endowments,  62 

Survivorship  Annuity,  67 

V  Combination  of  Annuity 

.and  Insurance  70 

VI  Method  of  Obtaining  Policies  76 

VII  Withdrawal  from  Teaching  77 

VIII  Life  Annuities  78 

[31 


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[4] 


Foreword 

It  is  with  great  satisfaction  that  the  Teachers 
Insurance  and  Annuity  Association  of  America 
announces  its  organization  and  readiness  to 
serve  the  university  and  college  teachers  of  the 
United  States,  Canada  and  Newfoundland. 

A  decade  of  experience  with  retiring  allow- 
ances for  teachers  convinced  the  Carnegie 
Foundation  for  the  Advancement  of  Teaching 
that  a  pension  system  should  rest  upon  the 
cooperation  of  employee  and  employer;  that 
for  the  assurance  of  an  annuity  there  must 
be  set  aside,  year  by  year,  the  reserve  neces- 
sary, with  its  accumulated  interest,  to  pro- 
vide the  annuity  at  the  age  agreed  upon;  that 
the  arrangement  with  the  teacher  should  be 
a  contractual  one  upon  an  actuarial  basis; 
and  that  such  annuities  should  be  supple- 
mented by  life  insurance.  The  recent  bulletins 
and  reports  of  the  Carnegie  Foundation  record 
the  concrete  embodiment  of  these  principles,  as 
finally  reached  with  the  cooperation  of  the 
teachers  in  the  institutions  associated  with  the 
Foundation  and  of  representative  academic 
and  actuarial  societies. 

The  result  is  the  present  offer  of  a  new  and 
comprehensive  service  to  the  great  body  of 
university  and  college  teachers  of  North 
America. 

[5] 


The  Association  employs  no  soliciting 
agents,  thereby  avoiding  one  of  the  greatest 
sources  of  expense.  Its  policies  are  planned 
to  suit  the  circumstances  of  the  teacher's 
salary  and  needs.  The  officers  of  the  Associa- 
tion will  gladly  give  any  further  information 
desired. 


1918  CHAIRMAN  OF  THE  BOARD 


6] 


I 

Teachers 

Insurance  and  Annuity  Association 
of  America 

The  Teachers  Insurance  and  Annuity  Asso- 
ciation of  America  is  incorporated  under  the 
laws  of  the  State  of  New  York,  as  a  life  insur- 
ance company,  and  is  subject  to  the  scrutiny 
and  supervision  of  the  State  Superintendent 
of  Insurance. 

The  Association  was  organized  in  1918  at 
the  instance  of  the  Carnegie  Foundation  for 
the  Advancement  of  Teaching.  Its  paid-in 
capital  and  surplus  of  $1,000,000  contributed 
by  the  Carnegie  Corporation  of  New  York  are, 
respectively,  five  and  ten  times  the  legal  re- 
quirement. Besides  giving  security  additional 
to  that  furnished  by  the  full  legal  policy  re- 
serves, the  paid-in  capital  and  surplus  furnish 
an  income  for  the  expenses  of  management, 
resulting  in  substantial  annual  savings  to 
policy  holders.  The  Association  is  governed 
by  a  board  of  sixteen  trustees,  four  of  whom 
are  chosen  by  the  policyholders. 

The  charter  of  the  Association,  approved 
March  4, 1918,  states: 

"The  purpose  of  the  corporation  is  to  pro- 
vide insurance  and  annuities  for  teachers  and 
other  persons  employed  by  colleges,  by  uni- 

[7] 


versities,  or  by  institutions  engaged  primarily 
in  educational  or  research  work;  to  offer  pol- 
icies of  a  character  best  adapted  to  the  needs 
of  such  persons  on  terms  as  advantageous  to 
its  policy  holders  as  shall  be  practicable;  and 
to  conduct  its  business  without  profit  to  the 
corporation  or  to  its  stockholders." 

Copies  of  the  charter  and  by-laws  may  be 
had  upon  request. 

The  Association  is  thus  an  agency  for  enab- 
ling teachers  and  others  employed  in  colleges, 
universities,  and  other  institutions  devoted 
to  education  and  research,  to  provide  for 
their  families  and  for  themselves  adequate 
protection  against  dependence,  by  offering 
them  at  the  lowest  feasible  cost  an  insurance 
and  annuity  service  adapted  to  their  specific 
needs. 

The  facilities  of  the  Association  are  open  to 
the  general  body  of  teachers  in  the  colleges  and 
universities  of  the  United  States,  Canada, 
and  Newfoundland,  irrespective  of  denomina- 
tional or  state  control. 

Up  to  the  present  the  large  insurance  com- 
panies have  been  built  up  through  the  extensive 
solicitation  of  business  by  paid  agents.  With 
this  business  the  Association  does  not  under- 
take to  compete.  It  has  no  ambition  for  size 
beyond  the  point  where  numbers  are  necessary 
for  a  fair  distribution  of  the  risk.  Its  situation 
is  quite  different  from  that  of  the  soliciting 
company.  Through  an  endowment,  contrib- 
[8] 


uted  in  the  form  of  capital  and  surplus,  it  is 
able  to  offer  insurance  at  cost,  without  the 
overhead  charges  which  in  the  ordinary  com- 
pany absorb  considerable  proportion  of  the 
premiums  paid  by  the  policyholders. 

The  Association  deals  with  educated  and 
intelligent  men  and  women  who  are  entirely 
competent  to  understand  and  appreciate  the 
fundamental  principles  of  life  insurance. 
The  value  of  the  Association  will  in  large 
measure  depend  upon  gradually  gaining  the 
attention  of  this  great  group  of  teachers  to 
the  extent  that  they  themselves  shall  under- 
stand these  simple  principles  and  act  upon 
their  own  knowledge  of  them. 


Growth  of  the  Association 


End  of 

Insurance 
In  Force 

Annuities  in  Force 
(Annual  Amount) 

Assets 
(Including  Policy 
Reserves) 

1919 

$1,231,031 

$194,977 

$1,073,003 

1920 

3,356,747 

624,398 

1,259,890 

1931 

5,578,352 

1,165,851 

1,651,102 

TTnH  nf            No-  °*  Insurance  No.  of  Annuity  No.  of 

Polices                       Policies  Policyholders 

1919  249          215  372 

1920  653           554  949 

1921  1,095          947  1,6O1 


[9] 


Dividends  Declared  by  Trustees 

Although,  for  technical  reasons,  the  policies  of 
the  Association  are  what  is  known  as  * 'non-par- 
ticipating," dividends  have  been  credited  on  all 
policies  after  the  completion  of  the  first  policy 
year. 


Comparison  of  Net  Costs  under  Policies  Issued  in  1919 
Age  at  Issue  30 

WHOLE  LIFE-  $10,000 

Beginning 
of 
Policy  Year 

Net  Cost 
Average  of 
Ten  Low  Cost 
Companies 

Net  Cost 
Teachers  Insurance 
and 
Annuity  Association 

Saving  in 
Net  Cost 
to  Teachers 

Saving 
Expressed  as 
a  Percentage 

Accumulated 
Saving  at 
5%  Interest 

1 
2 
8 
4 

$229.40 
191.00 
189.60 
187.  SO 

$174.00 
159.80 
157.90 
156.20 

$55.40 
81.20 
31.70 
81.  10 

32% 
20% 
20% 
20% 

$   55.40 
89.37 
125.54 
162.92 

TEN  YEAR  TERM  (CONVERTIBLE)-$10,000 

1 
2 
3 
4 

$124.80 
101.50 
103.80 
102.00 

$86.90 
77.60 
76.60 
76.70 

$37.90 
23.90 
27.20 
26.30 

44% 
31% 
36% 
35% 

$   37.90 
63.70 
94.09 
125.09 

The  net  costs  given  for  the  first  year  are  the  premiums 
which  appear  in  the  policies.  Those  for  subsequent  years  are 
after  allowance  for  dividends  actually  paid.  The  dividends 
at  the  end  of  the  first  policy  year  can  be  obtained  by  sub- 
tracting net  costs  given  for  the  second  year  from  the  initial 
costs.  Similarly,  second  year  dividends  are  the  difference 
between  the  initial  costs  and  net  shown  for  the  third  year. 


10] 


II 


Outline  of  Subject  Matter 

In  the  following  pages  there  appear  descrip- 
tions of  the  various  policies  offered  by  the 
Association  together  with  tables  of  rates. 
Since  the  Deferred  Annuity  Contract,  Teach- 
ers Retirement  Plan,  is  the  standard  policy 
which  makes  contractual  provision  for  a  re- 
tirement income,  it  is  described  first. 

Life  insurance  policies  on  the  various  plans 
are  next  treated  of,  followed  by  chapters  on 
the  combination  of  annuity  and  insurance, 
the  method  of  obtaining  policies,  and  the 
effect  of  withdrawal  from  teaching. 

In  the  back  of  the  book,  the  Life  Annuity 
Policy  is  described  and  a  rate  table  shown. 
This  latter  form  of  policy  is  suggested  as  a  safe 
medium  for  the  investment  of  funds — such  as 
the  proceeds  of  life  insurance  policies  paid  to 
surviving  wives  of  teachers — where  a  guaran- 
teed life  income,  free  from  the  ordinary  invest- 
ment cares,  is  desired. 

While  the  following  pages  will  enable  the 
careful  reader  to  obtain  a  good  understanding 
of  the  subject  of  annuities  and  insurance,  the 
officers  of  the  Association  are  glad  at  all  times 
to  offer  financially  disinterested  advice  and 
suggestions  upon  request. 


Ill 

The  Deferred  Annuity  Contract 
Teachers  Retirement  Plan 

An  annuity  is  a  series  of  periodic  payments 
continuing  during  a  given  status. 

The  most  common  form  of  life  annuity  is 
that  which,  in  consideration  of  a  single  cash 
deposit,  pays  a  stipulated  sum  annually, 
semi-annually,  quarterly,  or  monthly,  as  long 
as  the  annuitant  lives. 

A  Deferred  Annuity  begins  after  a  fixed 
period  of  years  or  when  the  annuitant  attains 
a  certain  age,  and  is  usually  purchased  by 
means  of  payments  distributed  throughout 
the  period  of  deferment. 

A  Non-forfeitable  Pension 

The  teacher  whose  retirement  allowance  is 
secured  by  a  Deferred  Annuity  policy  on  the 
Teachers  Retirement  Plan  will  enjoy  a  pro- 
tection fundamentally  more  secure  and  equit- 
able than  one  whose  reliance  must  be  upon  a 
pension  payable  at  the  discretion  of  a  Board 
of  Regents  or  of  Trustees. 

From  the  moment  the  first  premium  is  paid 
on  such  a  policy,  the  teacher  will  become  the 
owner  of  a  policy  or  contract  which  neither 
his  employer  nor  the  Association  will  have 
any  power  to  modify  adversely  to  his  in- 
terests, and  no  change  of  employment  or 


failure  to  continue  the  payment  of  premiums 
can  deprive  him  of  the  full  benefit  purchased 
by  the  premiums  already  paid.  He  will  be 
assured  that  every  cent  of  premium  which 
he  pays  as  a  teacher  or  which  is  paid  by 
his  college  for  him,  with  compound  interest 
at  four  per  cent,  will  either  be  applied  to 
provide  the  retirement  allowance,  or  if  he 
dies  before  the  allowance  becomes  payable, 
returned  to  his  dependents. 

Various  Options  Available 

The  man  who,  at  the  age  of  thirty,  begins 
to  make  provision  for  his  retirement  cannot 
foretell  exactly  the  age  at  which  he  will  wish 
to  retire,  or  what  form  of  annuity  will  best 
suit  his  circumstances  thirty  or  forty  years 
later. 

To  meet  his  just  reluctance  to  commit  him- 
self so  far  in  advance  to  a  fixed  age  of  retire- 
ment and  form  of  annuity,  the  policy  allows 
great  latitude.  Preserving  always  mathemat- 
ical equivalence  of  value  among  the  benefits 
granted,  the  policy  allows  the  annuitant  free- 
dom to  choose  the  date  at  which  his  annuity 
will  commence,  and  also  allows,  as  alternative 
to  the  life  annuity,  the  choice  of  a  form  of 
annuity  one-half  of  which  will  continue  after 
his  death  to  his  wife  while  she  survives  him, 
or  of  a  form  which  guarantees  that  annuity 
payments  will  continue  after  his  death  until 
the  total  annuity  payments  equal  the  total 
premium  payments  with  interest. 
[131 


The  purpose  of  such  a  policy  is  to  make 
certain  the  payment  of  an  income.  To  secure 
this  purpose,  the  policy  does  not  permit  the 
payment  of  the  proceeds  in  one  sum.  If  the 
annuitant  lives  to  enter  upon  the  annuity, 
he  will  be  assured  an  income  for  the  re- 
mainder of  his  life.  If  he  dies  before  entering 
upon  the  annuity,  his  wife,  if  she  survives 
him,  or  his  estate,  will  receive  an  income  of 
one  hundred  twenty  equal  monthly  pay- 
ments, equivalent  in  value  to  the  accumulated 
premiums  with  four  per  cent  compound  in- 
terest. 

Increase  of  Premiums 
to  Secure  Larger  Annuity 

A  most  valuable  provision  of  the  policy 
is  that  which  allows  the  teacher  who  begins 
with  the  payment  of  premiums  on  a  modest 
scale,  to  increase  his  premiums,  and  thus  to 
secure  a  larger  annuity  without  the  formality 
of  applying  for  an  additional  policy.  Addi- 
tional premiums  paid  at  any  time  will  pro- 
vide additional  annuity,  payable  in  the  same 
way  and  subject  to  all  the  rights  and  con- 
ditions which  protect  the  annuity  originally 
granted.  The  only  limitation  on  the  right  to 
pay  additional  premiums  is  that  the  total 
additional  annuity  shall  not  exceed  $500 
monthly.  The  provision  of  the  policy  that 
additional  premiums  may  be  paid  at  any 
time  furnishes  the  teacher  a  desirable  in- 
vestment always  available. 
[141 


An  Illustration 

This  Deferred  Annuity  policy  is  offered  by 
the  Association  to  form  the  basis  of  the 
teacher's  insurance  protection.  A  full  under- 
standing of  its  provisions  will  enable  the 
teacher  to  plan  his  entire  insurance  protection 
intelligently  and  to  choose  such  form  of  life 
insurance  as  will  supplement  the  annuity 
policy. 

The  following  illustration  will  serve  to  make 
clear  the  benefits  provided  by  this  policy. 

Let  us  assume  that,  at  the  age  of  thirty,  a 
teacher  decides  to  use  five  per  cent  of  his 
monthly  salary  of  $150,  his  college  agreeing 
to  duplicate  his  payments,  to  pay  the  pre- 
miums on  a  policy  of  this  form. 

The  table  of  annuities  on  page  22  shows 
that  monthly  payments  of  $15,  continued  for 
thirty-five  years,  will  provide  a  deferred  life 
annuity  of  $127.66  monthly  commencing  at 
the  age  of  sixty-five. 

Five  years  later  he  receives  an  increase  in 
salary  of  $50,  and  accordingly,  at  age  thirty- 
five,  he  begins  the  payment  of  additional 
monthly  premiums  of  $5  each.  The  table 
shows  that  if  he  continues  to  pay  this  addi- 
tional $5  monthly  for  thirty  years  it  will 
produce  an  additional  annuity  of  $32.40, 
making  a  total  monthly  annuity  on  which  he 
may  retire  at  sixty-five  of  $160.06. 

At  forty-five  and  again  at  fifty-five  in- 
creased salary  enables  him  to  make  increases 
[151 


of  $5  in  his  monthly  premiums,  with  corre- 
sponding increases  of  $17.20  and  $6.93 
monthly  in  his  annuity. 

If  he  continues  these  payments  until  his 
retirement  at  sixty-five,  he  will  enjoy  an 
income  of  $184.19  monthly  for  the  remainder 
of  his  life.  The  Annuity  thus  provided  at  age 
sixty-five— $184.19  monthly,  or  $2,210.28  per 
year, — is  almost  exactly  what  a  man  retiring 
at  age  sixty-five  with  a  final  salary  of  $8,600 
would  receive  according  to  the  formula  of 
the  Carnegie  Foundation,  "Allowance  equals 
one-half  salary  plus  $400." 

In  the  accompanying  table  these  results,  as 
well  as  the  benefit  which  his  wife,  or  estate, 
would  receive  in  the  event  of  the  teacher's 
death  before  reaching  the  age  of  sixty-five, 
are  shown,  perhaps  more  clearly. 


Deferred  Annuity  Policy 

Teachers  Retirement  Plan 

Illustration  of  results  of  a  policy  issued  to 

a  man  30  years  of  age 

In  Case  of 

Total 

Total 

Amount  of 

Death 

Attained 
AGE 

Monthly 
Salary 

Monthly 

Monthly 
Annuity 

Premiums 
with 

Monthly 

[nstalments 

at  Age  65 

Interest 

Payable  for 

120  Months 

80 

$150 

$15 

$127.66 

85 

200 

20 

160.06 

$     996 

$10.02 

40 

200 

20 

160.06 

2,540 

25.55 

45 

260 

25 

177.26 

4,418 

44.45 

50 

260 

25 

177.26 

7,086 

70.77 

55 

800 

80 

184.19 

10,219 

102.80 

60 

300 

80 

184.19 

14,424 

146.11 

In  the  table,  the  column  headed  "Amount 
of  Premiums  With  Interest"  is  of  importance. 
It  shows  the  value  of  the  annuity  policy  to 
the  dependents  of  the  annuitant  in  case  of 
his  death  at  the  attained  age  stated,  before 
retirement,  and  forms  the  basis  for  choosing 
the  kind  and  amount  of  life  insurance  which 
he  should  secure.  Incidentally,  it  indicates 
the  value  of  the  "deferred  wages"  which 
would  be  at  stake,  and  possibly  forfeited, 
under  a  non-contractual  pension  system. 

Let  us  now  suppose  that  our  teacher  has 
reached  the  end  of  his  sixty-fourth  year.  He 
must  choose  whether  he  will  accept  the  life 
annuity  of  $184.19  monthly,  which  will  cease 
at  his  death,  or  whether  he  will  ask  for  one 
of  the  alternatives  offered  by  the  policy. 

If  he  finds  himself  in  good  health  and  not 
compelled  to  retire,  he  may  select  Option  II 
which  defers  the  payment  of  his  annuity,  and 
gives  the  larger  monthly  sum  to  which  longer 
accumulation  and  greater  age  will  entitle 
him.  He  will  also  have  the  option  of  con- 
tinuing the  payment  of  premiums  in  order  to 
produce  a  still  larger  annuity  at  the  time  he 
decides  to  retire.  For  example,  if  he  con- 
tinues to  pay  premiums  of  $30  monthly  for 
two  years  and  elects  to  have  the  annuity 
begin  when  he  is  sixty-seven  years  of  age,  he 
may  then  retire  on  a  monthly  annuity  of  $222. 

When  a  teacher  reaches  the  end  of  his 
sixty-fourth  year,  if  his  wife  is  living,  he  will 

[17] 


naturally  select  Option  III  which  provides  for 
an  annuity  for  the  life  of  the  annuitant,  to  be 
continued  after  his  death  for  one-half  the 
monthly  amount  to  his  wife  as  long  as  she 
shall  survive  him.  The  amount  of  annuity 
under  this  option  will  depend  upon  the  age 
of  the  wife.  In  the  case  we  are  considering, 
when  the  annuitant  is  at  the  end  of  his  sixty- 
fourth  year,  the  accumulated  premiums  of  his 
policy  will  amount  to  $19,541.  If  his  wife  is 
sixty  years  of  age  at  that  time,  the  $19,541 
available  will  provide  a  monthly,  income  of 
$147.53  throughout  the  life  of  the  annuitant, 
and  a  monthly  income  of  $73.77  after  his 
death  as  long  as  his  wife  is  living.  (See  table 
on  page  27.) 

For  the  teacher,  who,  at  the  time  of  retire- 
ment has  no  need  to  provide  for  the  contin- 
gency of  his  wife  surviving  him,  but  who 
hesitates  to  accept  a  form  of  annuity  under 
which  there  would  be  no  return  in  event  of 
his  death,  the  fourth  option  stated  in  the 
policy  provides  a  suitable  alternative. 

If  Option  IV  be  selected,  the  annuity  will 
be  paid  to  the  annuitant  for  life,  but,  if  the 
annuitant  dies  before  the  total  annuity  pay- 
ments equal  the  total  accumulated  premiums 
applied  to  purchase  the  annuity,  payments 
will  be  continued  to  his  estate  until  the 
annuity  payments  have  equaled  the  amount 
of  the  accumulated  premiums. 

[18] 


In  the  illustration  we  are  considering,  the 
accumulated  premiums,  at  the  end  of  the 
teacher's  sixty-fourth  year,  amount  to  $19,- 
541.  This  sum,  under  Option  IV,  will 
provide  a  monthly  annuity  of  $152.62,  pay- 
able as  long  as  the  annuitant  lives,  but  pay- 
able for  128  months  in  any  event.  For 
example,  if  the  annuitant  should  die  after 
receiving  ten  monthly  payments,  amounting 
to  $1,526.20,  payments  would  continue  to  his 
estate  for  118  months,  making  a  total  of 
$19,541. 

Another  feature  of  this  policy  deserves 
especial  mention.  To  provide  for  those 
teachers  who  may  arrange  to  retire  at  an 
earlier  age  than  that  originally  selected,  an 
annuity,  either  of  the  original  form,  or  of  a 
form  provided  under  one  of  the  options,  may 
be  made  to  begin  at  any  time.  The  amount 
of  annuity,  in  such  case,  will  depend  upon 
the  amount  of  the  accumulated  premiums, 
and  the  age  at  which  the  annuity  begins. 

For  example,  if  the  teacher  whose  case  we 
have  used  for  illustration  should  retire  at  the 
age  of  sixty,  he  would,  under  Option  I,  be  en- 
titled to  a  monthly  annuity,  beginning  at  that 
age,  of  $115.39,  which  is  what  his  accumu- 
lated premiums  of  $14,424  would  purchase. 

The  Association  will  keep  individual  ac- 
counts of  the  policies  on  this  plan,  and  fur- 
nish the  policy  holder  with  statements.  The 
table  on  page  26  shows  the  accumulation  at 
[191 


4  percent  compound  interest  of  $10  monthly. 
Illustrations  of  the  settlements  available  under 
Options  III  and  IV  appear  on  page  27. 

It  is  hoped  that  the  foregoing  illustration 
will  serve  to  indicate  the  great  adaptability  of 
this  policy.  The  great  variety  of  the  possible 
settlements  makes  it  difficult  to  present  a  com- 
plete statement,  because  the  result,  in  each 
case,  will  depend  upon  the  amount  of  the  pre- 
miums paid  and  the  ages  of  the  annuitant  and 
his  wife  at  the  time  the  options  are  exercised. 


Deferred  Annuity  Policy 
Teachers  Retirement  Plan 

Regular  Monthly  Premiums 

Policies  on  this  plan  will  be  issued  at  ages 
twenty-one  to  sixty -four  at  the  rates  shown 
in  the  table  on  the  two  following  pages. 

In  computing  the  amount  of  annuity  pay- 
able, due  allowance  will  be  made  for  fractions 
of  a  year  of  age  expressed  in  completed 
months. 

Policies  will  be  issued,  unless  a  different  form 
is  requested,  providing  that  the  first  annuity 
payment  will  be  due  on  the  first  of  the  month 
following  the  annuitant's  sixty-fifth  birthday, 
and  succeeding  payments  on  the  first  day  of 
each  month. 

Premiums  are  payable  on  the  first  day  of 
each  month;  the  last  premium  will  be  due 
one  month  before  the  first  annuity  payment 
is  due. 

Rates  for  deferred  annuities,  first  payment  at 
ages  higher  or  lower  than  sixty -five,  will  be 
quoted  upon  request. 


Deferred  Annuity  Policy 

Teachers  Retirement  Plan 

Amount  of  Monthly  Annuity,  First  Payment  at 

Age  65,  per  $10  Reduced  Monthly  Premium* 

AGE 

when  First 

Number  of 
Monthly 

Amount  of  Monthly  Annuity 
Beginning  at  65 

Premium 
is  Paid 

Premiums 
Payable 

If  the  Annuitant 
is  a  MAN 

If  the  Annuitant 
is  a  WOMAN 

21 

528 

$183.87 

$116.93 

22 

516 

127.13 

111.46 

28 

504 

121.18 

106.20 

24 

492 

116.86 

101.14 

26 

480 

109.81 

96.27 

26 

468 

104.47 

91.60 

27 

456 

99.35 

87.10 

28 

444 

94.41 

82.77 

29 

432 

89.67 

78.62 

80 

420 

85.11 

74.62 

81 

408 

80.73 

70.77 

82 

896 

76.61 

67.08 

88 

884 

72.46 

63.52 

84 

872 

68.56 

60.11 

85 

860 

64.81 

56.82 

86 

848 

61.21 

63.66 

87 

886 

57.74 

60.62 

88 

824 

54.41 

47.70 

89 

312 

51.21 

44.89 

40 

800 

48.13 

42.19 

*  In  case  of  withdrawal  from  educational  or  research 
employment  to  enter  some  other  profession  or  business, 
subsequent  premiums  will  be  increased  by  a  loading  of 
one-ninth. 


Deferred  Annuity  Policy,  Teachers  Retirement  Plan 

(Continued) 

AGE 
when  First 

Number  of 
Monthly 

Amount  of  Monthly  Annuity 
Beginning  at  65 

Premium 
is  Paid 

Premiums 
Payable 

If  the  Annuitant 
is  a  MAN 

If  the  Annuitant 
is  a  WOMAN 

41 

288 

$45.16 

$39.60 

42 

276 

42.32 

37.10 

43 

264 

39.58 

34.70 

44 

252 

36.94 

32.89 

45 

240 

84.41 

30.17 

46 

228 

31.98 

28.03 

47 

216 

29.64 

25.98 

48 

204 

27.38 

24.01 

49 

192 

25.22 

22.11 

50 

180 

23.14 

20.29 

51 

168 

21.14 

18.53 

52 

156 

19.21 

16.85 

53 

144 

17.36 

15.22 

54 

132 

15.58 

13.66 

55 

120 

13.87 

12.16 

66 

108 

12.23 

10.72 

57 

96 

10.65 

9.34 

58 

84 

9.13 

8.00 

59 

72 

7.67 

6.72 

60 

60 

6.26 

5.49 

61 

48 

4.91 

4.30 

62 

36 

3.61 

8.16 

63 

24 

2.38 

2.07 

64 

12 

1.16 

1.01 

Deferred  Annuity  Policy 
Teachers  Retirement  Plan 

Optional  Additional  Premiums 
Additional  annuity  may  be  provided: 

I.  By  a  series  of  additional  equal  monthly 
premiums,  begun  at  the  option  of  the 
annuitant,  and  continued  until  the  an- 
nuity is  entered  upon.  The  amount  of  such 
additional  annuity  beginning  at  sixty -five 
will  be  based  upon  the  rates  shown  in  the 
preceding  table. 

II.  By  a  single  additional  premium,  paid  at 
the  option  of  the  annuitant.  The  amount 
of  such  additional  monthly  annuity,  first 
payment  at  sixty-five,  purchased  by  a 
reduced    single    premium    of    $100,    is 
shown  in  the  table  opposite. 


.    Deferred  Annuity  Policy 

Supplemental  Table 

AGE 

Additional  Monthly  Annuity  Beginning  at  65 

When  Single 

Purchased  by  $100  Reduced  Premium 

Premium 

If  the  Annuitant 

If  the  Annuitant 

is  Paid 

is  a  MAN 

is  a  WOMAN 

25 

$4.63 

$3.97 

26 

4.36 

3.82 

27 

4.18 

8.67 

28 

4.02 

3.63 

29 

8.87 

3.39 

30 

8.72 

3.26 

31 

3.68 

8.14 

82 

3.44 

3.02 

83 

3.81 

2.90 

34 

3.18 

2.79 

36 

3.06 

2.68 

36 

2.94 

2.58 

37 

2.83 

2.48 

38 

2.72 

2.88 

39 

2.61 

2.29 

40 

2.61 

2.20 

41 

2.42 

2.12 

42 

2.32 

2.04 

43 

2.23 

1.96 

44 

2.16 

1.88 

45 

2.07 

1.81 

46 

1.99 

1.74 

47 

1.91 

1.67 

48 

1.84 

1.61 

49 

1.77 

1.55 

60 

1.70 

1.49 

61 

1.63 

1.43 

62 

1.67 

1.88 

63 

1.61 

1.82 

64 

1.46 

1.27 

66 

1.40 

1.22 

66 

1.34 

1.18 

67 

1.29 

1.13 

68 

1.24 

1.09 

69 

1.19 

1.05 

60 

1.15 

1.01 

61 

1.10 

.97 

62 

1.06 

.93 

63 

1.02 

.89 

64 

.98 

.86 

Accumulation  of  $10  monthly  at  end  of 

years  1  to  50 

4  Per  Cent  Compound  Interest 

Period 
Years 

Amount  of  $10.00 
per  month, 
at  end  of  period 

Period 
Years 

Amount  of  $10.00 
per  month, 
at  end  of  period 

1 

$122.68 

26 

$5,431.89 

2 

250.07 

27 

5  ,771  .75 

8 

382.66 

28 

6,125.21 

4 

520.55 

29 

6,492.80 

5 

663.95 

30 

6,875.09 

6 

813.10 

31 

7,272.68 

7 

968.20 

32 

7,686.18 

8 

1,129.51 

33 

8,116.20 

9 

1,297.28 

34 

8,563.43 

10 

1,471.75 

35 

9,028.55 

11 

1,653.21 

36 

9,512.28 

12 

1,841.92 

37 

10,015.85 

13 

2,038.17 

38 

10,538.55 

14 

2,242.29 

39 

11,082.67 

15 

2,454.57 

40 

11,648.57 

16 

2,675.33 

41 

12,237.09 

17 

2,904.93 

42 

12,849.16 

18 

3,148.71 

43 

13,485.72 

19 

3,392.04 

44 

14,147.78 

20 

3,650.31 

45 

14,836.22 

21 

3,918.90 

46 

15,552.25 

22 

4,198.24 

47 

16,296.93 

23 

4,488.75 

48 

17,071.38 

24 

4,790.89 

49 

17,876.82 

25 

5,105.10 

50 

18,714.48 

The  above  table  shows,  on  the  basis  of  a  $10  monthly 
premium,  the  accumulation  available  at  death  before 
retirement  under  the  Deferred  Annuity  Policy, 
Teachers  Retirement  Plan. 

It  also  shows  the  total  accumulation  .available  for 
an  annuity  in  event  of  survival.  See  following  page 
for  table  of  amounts  of  monthly  annuity  for  each 
$1,000  of  accumulated  premiums  at  various  attained 
ages,  under  Options  III  and  IV. 


Table  of  Amounts  of  Monthly  Annuity  for 

each  $1,000  of  Accumulated  Premiums  at 

Various  Attained  Ages 

OPTION  III 

OPTION  IV 

ATTAINED 
AGES 
(to  last  com- 
pleted month) 

Amount 
of 
Monthly 
Annuity 

ATTAINED 
AGE 
(to  last  com- 
pleted mth.) 

MALE 
Amount  of 
Monthly 
Annuity 

FEMALE 
Amount  of 
Monthly 
Annuity 

Man—  Wife 

65-60 

$7.55 

50 

$5.67 

$5.26 

65-61 

7.64 

51 

5.76 

5.34 

65-62 

7.72 

52 

5.86 

5.43 

65-68 

7.80 

53 

5.97 

5.52 

65-64 

7.88 

54 

6.08 

5.62 

65-65 

7.95 

55 

6.20 

5.72 

65-66 

8.03 

56 

6.33 

5.83 

65-67 

8.11 

57 

6.46 

5.94 

65-68 

8.  19 

58 

6.60 

6.06 

65-69 

8.27 

59 

6.  75 

6.19 

65-70 

8.34 

60 

6.90 

6.32 

70-65 

8.91 

61 

7.06 

6.46 

70-66 

9.03 

62 

7.24 

6.61 

70-67 

9.  14 

63 

7.42 

6.77 

70-68 

9.26 

64 

7.61 

6.93 

70-69 

9.38 

65 

7.81 

7.11 

70-70 

9.49 

66 

8.03 

7.29 

70-71 

9.61 

67 

8.26 

7.48 

70-72 

9.  72 

68 

8.50 

7.69 

70-73 

9.84 

69 

8.76 

7.91 

70-74 

9.94 

70 

9.05 

8.  14 

70-75 

10.05 

A  statement  of  the  amount  of  contractual  annuity 
available  under  Options  I  or  II  will  be  furnished  upon 
receipt  of  information  as  to  the  age  at  which  it  is 
desired  to  have  annuity  payments  begin.  (The  amount 
may  be  approximated  by  means  of  the  table  of  Life 
Annuity  Rates  on  pages  79-80.) 


IV 

Life  Insurance  Policies 

Insurance  is  a  form  of  social  cooperation 
consisting  of  the  establishment  of  a  group  of 
persons  for  the  protection  of  each  individual 
in  the  group.  In  life  insurance  the  protection 
is  against  the  loss  of  income  due  to  the  death 
of  the  earner. 

No  one  can  foretell  the  length  of  an  in- 
dividual life,  but  population  and  life  insur- 
ance statistics  indicate  the  probable  distribu- 
tion of  longevity  in  any  large  group.  Such  a 
group  can  guarantee  the  payment  at  the 
death  of  each  individual  of  a  definite  sum  out 
of  a  central  fund  accumulated  from  separate 
annual  payments,  based  upon  each  indi- 
vidual's probability  of  living  from  the  date 
when  he  enters  the  group.  Such  action  is 
merely  a  redistribution  of  the  money  of  the 
members  of  the  group.  It  represents  no  in- 
crease of  wealth  except  in  the  increased 
productivity  of  the  group  due  to  their  sense 
of  protection. 

As  the  chance  of  dying  increases  with  age, 
the  individual's  payment  would  become 
larger  annually  unless,  as  is  usual,  the  pay- 
ments of  a  lifetime  are  averaged,  the  later 
payments  being  smaller  than  the  risk,  the 
difference  being  made  up  from  the  accumula- 
tion, with  interest,  of  over-payments  made 
at  the  earlier  ages. 


The  American  Experience  Table  of  Mor- 
tality, first  published  in  1868,  is  now  generally 
prescribed  by  state  laws  as  furnishing  a  safe 
basis  for  measuring  the  mortality  of  American 
holders  of  life  insurance  policies.  Those  who 
obtain  insurance  are  subject  to  lower  mor- 
tality rates  than  the  general  population;  it  is 
believed  that  college  teachers  are  subject  to 
lower  rates  than  ordinary  holders  of  insurance 
and  that  in  time  this  should  result  in  a  lower- 
ing of  the  cost  of  insurance  for  a  group  com- 
posed of  such  teachers. 

Life  insurance  funds  are  invested  at  com- 
pound interest.  The  rate  of  interest  generally 
prescribed  in  the  United  States  for  computing 
policy  values  was  four  per  cent  prior  to  1901; 
since  that  time  it  has  generally  been  three 
and  one-half  per  cent,  although  a  number  of 
companies  use  three  per  cent. 

The  Association  uses  three  and  one-half 
per  cent  for  insurance  and  four  per  cent  for 
annuities,  the  highest  interest  rates  permitted 
under  the  laws  of  New  York. 

Insurance  at  Cost 

The  stipulation  in  the  charter  of  the 
Association  that  its  business  is  to  be  con- 
ducted without  profit  to  the  corporation  or  to 
its  stockholders  enables  the  Association  to 
offer  insurance  and  annuities  to  college  teach- 
ers at  cost,  without  the  customary  loading  for 
expenses.  With  the  elimination  of  profits 
there  will  be  no  pressure  upon  the  manage- 
[291 


ment  to  adopt  extravagant  methods  to  secure 
a  large  volume  of  business. 

The  Association  offers  sound  and  substantial 
wares  and  describes  them  honestly  and  fully 
for  clients  who  are  accustomed  to  written  lan- 
guage. 

It  employs  no  soliciting  agents.  Being  cre- 
ated not  to  get  but  to  give,  it  can  afford  to 
wait  for  business. 

The  current  expenses  of  the  organization, 
including  taxes,  are  met  from  the  income  from 
the  paid-in  capital  and  surplus,  which  are, 
respectively,  five  and  ten  times  the  legal  re- 
quirement. 

Although,  for  technical  reasons,  the  poli- 
cies of  the  Association  are  what  is  known  as 
"non-participating,  "dividends  have  been  cred- 
ited on  all  policies  after  the  completion  of  the 
first  policy  year. 

The  Different  Kinds  of  Insurance 

Different  individuals  may  properly  seek 
different  kinds  of  insurance. 

Term  Insurance  provides  protection  for  a 
limited  period.  Term  insurance,  in  amounts 
which  gradually  diminish  with  advancing  age, 
is  the  only  form  of  insurance  by  which  ad- 
equate protection  for  a  dependent  family, 
available  at  the  time  of  greatest  need,  can 
be  brought  within  the  limitations  of  the  usual 
teacher's  salary. 

Ordinary  or  Whole  Life  Policies  provide  for 
the  payment  of  the  insurance  at  death,  when- 
[301 


ever  that  may  occur.  The  premiums  on  such 
policies  may  be  paid  throughout  life,  or,  in  the 
case  of  Limited  Payment  Policies,  for  a  speci- 
fied number  of  years,  upon  the  completion  of 
which  the  policy  is  paid-up.  The  Association 
offers  such  policies  paid-up  either  at  the  end 
of  twenty  years,  or  when  the  policy  holder 
reaches  sixty-five. 

Endowment  Insurance  provides  for  the 
payment  of  the  sum  insured  at  the  end  of  a 
specified  number  of  years,  or  at  the  death 
of  the  policyholder  if  this  occurs  before  the 
date  of  maturity.  This  is  the  most  expensive 
form  of  insurance  as  it  provides  both  insur- 
ance protection  and  investment. 

All  of  the  usual  forms  of  insurance  are  of- 
fered by  the  Association. 

The  form  of  policy  selected  by  an  individual 
will  depend  upon  his  financial  resources. 

A  teacher,  who  has  no  income  outside  of  his 
regular  salary,  will  obtain  the  greatest  pro- 
tection for  the  least  money  by  combining  a 
term  policy  with  an  annuity  contract. 

A  teacher  with  additional  income  may  pre- 
fer to  pay  up  his  insurance  in  a  limited  num- 
ber of  payments,  while  providing  for  his 
annuity. 

A  teacher  who  has  capital  in  addition  to 
his  salary  may  prefer  a  whole  life  policy,  or 
may  consider  an  endowment  policy  a  desir- 
able and  conservative  investment  for  his 
money. 

[311 


Upon  request,  the  actuaries  of  the  Asso- 
ciation will  give  full  information  as  to  the 
relative  advantages  of  the  various  policies  for 
the  varying  needs  of  individuals. 

Maximum  Policy 

The  amount  of  insurance  which  the  Asso- 
ciation can  safely  place  upon  the  life  of  a 
single  individual  depends  upon  the  size  of 
the  group  of  its  policy  holders.  At  present 
the  maximum  is  twenty  thousand  dollars,  not 
more  than  ten  of  which  may  be  on  the  term 
or  decreasing  life  plans. 

Monthly  Premiums 

The  Association  writes  policies  based  on  the 
payment  of  premiums  monthly,  a  service 
which  has  proved  to  be  especially  appreciated 
by  a  large  number  of  teachers.  Ordinarily,  life 
insurance  companies  find  that  fractional  pre- 
miums involve  a  considerable  extra  cost  for 
collection,  for  which  they  protect  themselves 
by  making  an  ample  extra  charge  to  the  policy- 
holder.  By  arranging  that  the  policyholder 
who  desires  the  monthly  premium  service 
shall  instruct  the  disbursing  officer  of  his 
institution  to  deduct  the  amount  of  the  pre- 
mium due  each  month  from  his  salary  and  re- 
mit it  directly  to  the  Association,  it  becomes 
possible  to  deal  with  all  of  the  monthly  pre- 
miums of  the  policyholders  in  a  single  institu- 
tion in  one  transaction.  The  resulting  saving 
of  Ipostage  and  clerical  work  enables  the  Asso- 
[321 


elation  to  offer  the  monthly  payment  privilege 
for  an  extra  charge  equivalent  only  to  a  mod- 
erate rate  of  interest  for  the  credit  actually  ex- 
tended. For  those  who  prefer  the  usual  cus- 
tom, there  are  policies  providing  for  premium 
payments  either  annualy,  semi-annually  or 
quarterly. 

Insurance  companies  also  offer  provisions 
for  keeping  insurance  in  force  without  the 
payment  of  premiums  if  the  policyholder  is 
wholly  disabled,  or  for  paying  insurance  not 
in  a  single  sum  but  in  instalments.  The 
Association  provides  the  usual  privileges  in 
the  policies  to  which  they  are  appropriate. 

Borrowing  on  Policies 

The  Association  will  lend  upon  lifeinsurance 
policies  in  accordance  with  the  requirements 
of  New  York  law,  but  its  officers  will  seek, 
in  the  words  of  Professor  Huebner  of  the 
University  of  Pennsylvania,  "to  impress  upon 
the  insured,  as  well  as  on  the  beneficiary, 
the  necessity  of  not  allowing  unnecessary 
loans  to  defeat  the  sacred  purpose  of  life 
insurance  in  protecting  the  home,  or  in  pro- 
viding for  old  age." 

Standard  Provisions 

All  policies  issued  by  the  Association  are 
approved  by  the  New  York  State  Depart- 
ment of  Insurance,  and  contain  the  ap- 
propriate standard  provisions  prescribed  by 
the  New  York  Insurance  Law. 
[331 


Disability  Benefit 

Policies  on  the  above-mentioned  plans  con- 
tain a  clause  providing  that  the  policy  will  be 
continued  in  full  force  without  further  pay- 
ment of  premiums,  in  the  event  of  the  insured 
becoming  totally  and  permanently  disabled 
before  reaching  the  age  of  sixty-five. 

Manner  of  Payment  of  Insurance 

The  manner  in  which  insurance  is  payable 
to  the  beneficiary  at  the  death  of  the  insured 
is  a  matter  of  great  importance,  to  which 
too  little  attention  is  often  given. 

When  a  beneficiary  unused  to  the  invest- 
ment of  large  sums  receives  the  proceeds  of 
the  policy  in  one  immediate  payment,  unwise 
management  of  the  money  frequently  results 
in  defeating  the  purpose  for  which  the  in- 
surance was  provided. 

Ordinarily,  the  teacher  will  do  less  than  his 
whole  duty  to  his  dependents,  unless,  when 
he  insures  his  life,  he  provides  that  the  in- 
surance be  payable  in  a  manner  which  will 
assure  them  a  continued  income  correspond- 
ing to  their  necessities. 

Monthly  Income  Policies 

The  Association  issues  policies  on  the  Term, 
Whole  Life,  Limited  Payment  Life,  and  En- 
dowment, Monthly  Income  Plan.  Such  poli- 
cies provide  that  the  insurance  will  be  payable 
in  two  hundred  forty  equal  monthly  instal- 
ments. Policies  will  be  issued  for  a  monthly 
[34] 


income  of  $10,  or  multiple  of  that  amount 
not  exceeding  $125  monthly.  ( $60  on  Term.) 

This  plan  is  desirable  when  the  beneficiaries 
to  be  provided  for  are  children  whose  de- 
pendence may  be  expected  to  cease  within  the 
twenty  years  during  which  the  income  is 
payable.  Two  hundred  forty  monthly  instal- 
ments of  $10  each  are  equivalent  in  value  to 
$1,737  payable  in  one  sum. 

Rates  for  a  monthly  income  of  $10  may  be 
found  by  multiplying  the  rates  per  $1,000  by 
1.737. 

Continuous  Monthly  Income  Policies 

The  Association  "will  issue  policies  on  the 
Term,  Whole  Life,  Limited  Payment  Life, 
and  Endowment,  Continuous  Monthly  Income 
Plan.  This  plan  assures  a  life  income  to  the 
beneficiary,  or  in  the  case  of  the  Endowment, 
to  both  the  insured  and  the  beneficiary.  The 
provisions  of  this  policy  are  similar  to  those  of 
the  monthly  income  policy ,  with  the  additional 
guarantee  that  the  monthly  income  will  con- 
tinue, after  two  hundred  forty  monthly  pay- 
ments have  been  made,  throughout  the  life 
of  the  beneficiary,  however  long  that  may  be. 
This  policy  differs  from  the  Survivorship 
Annuity  Policy,  in  that  it  does  not  terminate 
at  the  death  of  the  beneficiary,  but  provides 
that  the  income  will  continue  for  two  hundred 
forty  months  after  the  death  of  the  insured, 
irrespective  of  the  survival  of  the  beneficiary. 
[35] 


Premiums  are  based  on  the  rates  for 
Monthly  Income  Policies,  increased  by  a 
small  extra  premium  which  depends  upon  the 
age  of  the  beneficiary. 

Rates  for  this  form  will  be  quoted  upon 
request. 

But  one  person  can  be  named  as  bene- 
ficiary in  policies  on  this  plan;  and  if  a 
different  beneficiary  be  named  later,  not 
more  than  two  hundred  forty  instalments  will 
be  payable. 


36 


Decreasing  Life  Insurance 

This  policy  has  been  prepared  as  a  companion 
form  to  the  Teachers  Retirement  Plan  De- 
ferred Annuity  Policy.  It  is  intended  to 
furnish,  at  a  monthly  premium  of  approxi- 
mately ten  dollars,  an  amount  of  insurance 
which  will  supplement  the  protection  given 
by  the  deferred  annuity  policy  at  a  similar 
monthly  premium. 

It  is  designed  to  furnish  the  maximum 
amount  of  insurance  during  the  earlier  years 
of  life,  when,  if  death  occurs,  the  teacher's 
family  will  be  most  helpless,  and  when  the 
amount  realized  under  the  annuity  policy 
will  be  small. 

The  policy  is  issued  only  at  ages  twenty-one 
to  forty.  It  provides  that  the  amount  of  insur- 
ance payable,  if  death  occur  before  the  end  of 
the  insured's  fortieth  year,  will  be  ten  thou- 
sand dollars. 

At  the  beginning  of  the  insured's  forty- 
first  year,  and  of  every  year  thereafter  for 
thirty  years,  the  amount  of  insurance  will  be 
reduced  by  three  hundred  dollars.  Thirty 
successive  annual  reductions  of  three  hundred 
dollars  bring  the  amount  of  insurance  to  one 
thousand  dollars  at  age  seventy,  at  which 
amount  it  remains  throughout  life. 

Equal  Monthly  (or  Annual)  premiums  are 
[371 


payable  until  the  insured  reaches  age  sixty- 
five  at  which  time  the  policy  becomes  paid-up . 
The  table  below  shows  the  protection 
furnished  year  by  year  by  the  combination 
of  a  deferred  annuity  policy  on  which  monthly 
premiums  of  $10  are  paid,  with  a  decreasing 
insurance  policy,  costing  $8.58  a  month  ad- 
ditional, for  a  man  age  thirty  at  entry. 


Illustration  of  Combined  Result 

Deferred  Annuity  Policy,  Teachers  Retirement  Plan 
Reduced  Monthly  Premium  $10.00 

Decreasing  Life  Insurance  Policy 
Reduced  Monthly  Premium  $8.58 

Issued  at  Age  30 

AGE 
Attained 
at  Beginning 
of  Year 

Insurance 
During  Year 
Decreasing 
Insurance 
Policy 

Value  of 
Accumulated 
Premiums 
Deferred 
Annuity* 

Total 
Insurance 
Value* 

30 
35 

40 
45 
50 

$10,000 
10,000 
10,000 
8,500 
7,000 

$    60 
740 
1,560 
2,560 
8,780 

$10,060 
10,740 
11,560 
11,060 
10,780 

55 
60 
65 
70 

75 

76 

5,500 
4,000 
2,500 
1,000 
1,000 

1,000 

5,270 
7,070 
**8,600 
**4,370 
**     140 

10,770 
11,070 
11,100 
5,370 
1,140 

1,000 

'Approximate  Average  for  Year. 
**If  at  Age  65,  Option  IV  of  the  Annuity  Policy,  providing 
Monthly  Annuity  of  $70.54  for  life,  but  for  128  months  in  any 
event,  be  selected. 

{\\ustvationsatother  ages  will  be  furnished  upon  request. 
[381 


Decreasing 
Life  Insurance  Policy 

The  initial  amount  of  insurance  will  be 
$10,000.  The  amount  of  insurance  will  be 
reduced  by  thirty  equal  annual  decrements  of 
$300  each,  beginning  at  age  forty-one,  to 
$1,000  at  age  seventy,  after  which  no  further 
reduction  will  be  made. 

Policy  fully  paid-up  at  age  sixty -five. 
Disability  Benefit. 

Loan,  Cash  Surrender,  and  Non-forfeiture 
Provision . 

Decreasing  Life  Insurance  policies  will  not 
be  issued  on  the  Monthly  Income  or  Con- 
tinuous Monthly  Income  plan. 

Table  of  Reduced  Premiums  payable  if  the 
insured  is  employed  by  a  College,  University, 
or  institution  engaged  primarily  in  educa- 
tional or  research  work. 

This  policy  will  also  be  issued  in  the  initial  amounts 
of  $5,000  and  $7,500  with  the  premiums  and  decre- 
ments in  proportion  to  those  on  the  $10,000  policy. 


39] 


Decreasing  Life  Insurance  Policies 

Initial  Amount  of  Insurance,  $10,000 

Premiums  ceasing  at  Age  65 

AGE 
Nearest 
Birthday 

Reduced 
Monthly 
Premium 

Reduced 
Quarterly 
Premium 

Reduced 
Semi-Annual 
Premium 

Reduced 
Annual 
Premium 

21 

$7.86 

$23.45 

$46.56 

$91.77 

22 

7.93 

23.66 

46.97 

92.60 

23 

8.00 

23.88 

47.40 

93.45 

24 

8.07 

24.  10 

47.86 

94.35 

25 

8.  15 

24.34 

48-31 

95.25 

26 

8.24 

24.58 

48.79 

96.18 

27 

8.32 

24.82 

49.28 

97.  15 

28 

8.41 

25.07 

49.79 

98.  15 

29 

8.49 

25.34 

50.31 

99.18 

30 

8.58 

25.61 

60.84 

100.23 

31 

8.68 

25.88 

51.39 

101.31 

32 

8.77 

26.17 

51.97 

102.44 

33 

8.87 

26.47 

52.54 

103.58 

34 

8.96 

26.77 

53.  14 

104.74 

35 

9.07 

27.07 

53.74 

105.94 

86 

9.  17 

27.38 

54.35 

107.15 

87 

9.28 

27.69 

54.98 

108.39 

38 

9.39 

28.01 

55.61 

109.63 

39 

9.50 

28.33 

56.24 

110.87 

40 

9.59 

28.65 

56.86 

112.  10 

For  ages  above  forty  a  combination  of  a  limited  pay- 
ment life  and  term  policies  will  accomplish  a  similar 
result. 


40 


Term  Insurance 

Term  Insurance — more  correctly  described  as 
temporary  insurance — is  insurance  for  a 
limited  period.  If  death  occurs  within  the 
term,  the  insurance  becomes  payable.  If  the 
insured  survives  the  term,  the  contract  ex- 
pires. Consequently,  many  policies  of  term 
insurance  never  become  claims.  The  cost  of 
such  policies  is  therefore  materially  less  than 
the  cost  of  policies  for  the  whole  of  life, 
which  all  become  claims,  unless  forfeited  or 
surrendered. 

The  low  cost  of  term  insurance,  especially 
for  terms  which  do  not  extend  into  old  age, 
permits  its  use  to  great  advantage  to  supple- 
ment other  forms  of  protection,  or  to  pro- 
vide against  risks  which  are  temporary. 
The  Association  issues  policies  of  term  in- 
surance upon  the  plans  described  below, 
but  in  no  case  for  a  term  extending  beyond 
the  insured's  seventieth  year. 


Term  Policies 

Insurance  Payable  at  Death  if  before  Ex- 
piration of  Term. 

Disability  Waiver  of  Premium  Benefit. 

Non-forfeiture  Provision  if  term  is  twenty 
years  or  more,  and  in  Term  Policies  expiring 
at  Ages  Sixty  to  Seventy  if  term  is  more 
than  five  years. 

Tables  of  Reduced  Premiums  payable  if  the 
insured  is  employed  by  a  College,  University, 
or  institution  engaged  primarily  in  educa- 
tional or  research  work. 


Five  Year  Term  Policies 

AGE 
Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$.68 

$2.00 

$3.96 

$7.79 

22 

.68 

2.01 

3.99 

7.85 

23 

.68 

2.03 

4.01 

7.90 

24 

.68 

2.03 

4.04 

7.96 

25 

.69 

2.05 

4.08 

8.03 

26 

.70 

2.07 

4.  11 

8.  10 

27 

.70 

2.09 

4.  15 

8.  17 

28 

.71 

2.  12 

4.  19 

8.24 

29 

.72 

2.  13 

4.23 

8.33 

30 

.73 

2.16 

4.28 

8.42 

31 

.  74 

2.  19 

4.33 

8.53 

32 

.  75 

2.21 

4.38 

8.64 

33 

.76 

2.24 

4.45 

8.76 

34 

.77 

2.28 

4.52 

8.89 

35 

.77 

2.31 

4.59 

9.04 

36 

.79 

2.36 

4.67 

9.20 

37 

.81 

2.40 

4.76 

9.38 

38 

.82 

2.45 

4.86 

9.57 

39 

.84 

2.50 

4.96 

9.77 

40 

.86 

2.57 

5.09 

10.02 

41 

.88 

2.63 

5.22 

10.28 

42 

.91 

2.  71 

5.37 

10.58 

43 

.94 

2.79 

5.54 

10.91 

44 

.97 

2.89 

5.73 

11.29 

45 

1.01 

3.00 

5.95 

11.73 

46 

1.05 

3.  13 

6.21 

12.23 

47 

1.  10 

3.28 

6.49 

12.79 

48 

1.  15 

3.44 

6.82 

13.44 

49 

1.22 

3.63 

7.  19 

14.  17 

50 

1.29 

3.83 

7.61 

14.99 

51 

1.37 

4.07 

8.06 

15.89 

52 

1.45 

4.33 

8.59 

16.92 

53 

1.55 

4.62 

9.  16 

18.05 

54 

1.66 

4.94 

9.80 

19.31 

55 

1.78 

5.32 

10.57 

20.82 

56 

1.92 

5.72 

11.35 

22.37 

57 

2.06 

6.  16 

12.21 

24.08 

68 

2.23 

6.67 

13.23 

26.07 

59 

2.41 

7.20 

14.29 

28.  16 

60 

2.62 

7.82 

15.52 

30.58 

Ten  Year  Term  Policies 

AGE 

Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annaal 

Annual 

21 

$.68 

$2.03 

$4.02 

$7.93 

22 

.68 

2.04 

4.06 

7.99 

28 

.69 

2.06 

4.09 

8.06 

24 

.70 

2.08 

4.13 

8.13 

25 

.71 

2.11 

4.17 

8.21 

26 

.71 

2.  12 

4.21 

8.29 

27 

.72 

2.  14 

4.26 

8.38 

28 

.73 

2.  17 

4.30 

8.48 

29 

.74 

2.20 

4.36 

8.58 

80 

.75 

2.22 

4.42 

8.69 

31 

.76 

2.26 

4.48 

8.83 

32 

.77 

2.30 

4.55 

8.96 

33 

.78 

2.33 

4.63 

9.  12 

34 

.80 

2.38 

4.72 

9.29 

35 

.82 

2.42 

4.81 

9.47 

36 

.83 

2.48 

4.91 

9.68 

37 

.86 

2.54 

5.08 

9.91 

38 

.87 

2.60 

5.17 

10.  17 

39 

.90 

2.67 

5.30 

10.45 

40 

.93 

2.76 

5.47 

10.78 

41 

.95 

2.85 

5.65 

11.14 

42 

.99 

2.96 

5.87 

11.56 

43 

1.04 

3.08 

6.10 

12.02 

44 

1.08 

3.21 

6.87 

12.56 

45 

1.13 

3.37 

6.68 

13.  16 

46 

1.  19 

3.54 

7.03 

13.84 

47 

1.25 

3.74 

7.42 

14.61 

48 

1.32 

3.95 

7.85 

15.46 

49 

1.41 

4.20 

8.34 

16.43 

For  ages  50  to  55,  see  tables  on  pages  47-52. 

This  policy  now  provides  for  optional  conversion, 
within  five  years  from  date  of  issue,  without  medical 
re-examination,  into  a  Whole  Life,  Limited  Payment 
Life  or  Endowment  Policy. 


44 


Fifteen  Year  Term  Policies 

AGE 

Reduced  Premiums  per  $1,000  of  Insurance 

Nearest 

Birthday 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$.69 

$2.07 

$4.  11 

$8.09 

22 

.70 

2.09 

4.  14 

8.  15 

23 

.71 

2.  11 

4.  19 

8.24 

24 

.72 

2.13 

4.23 

8.33 

25 

.73 

2.  16 

4.28 

8.42 

26 

.74 

2.19 

4.33 

8.53 

27 

.  75 

2.21 

4.38 

8.64 

28 

.76 

2.24 

4.46 

8.77 

29 

.77 

2.28 

4.52 

8.90 

30 

.77 

2.31 

4.59 

9.05 

31 

.79 

2.36 

4.67 

9.21 

32 

.81 

2.40 

4.77 

9.39 

33 

.83 

2.46 

4.87 

9.59 

34 

.85 

2.51 

4.98 

9.81 

35 

.86 

2.57 

5.11 

10.06 

36 

.89 

2.65 

5.26 

10.35 

37 

.92 

2.73 

5.41 

10.66 

38 

.95 

2.82 

5.59 

11.02 

39 

.98 

2.93 

5.80 

11.42 

40 

1.02 

3.03 

6.03 

11.87 

41 

1.06 

3.17 

6.27 

12.37 

42 

1.12 

3.31 

6.57 

12.94 

43 

1.  17 

3.47 

6.89 

13.57 

44 

1.22 

3.66 

7.25 

14.27 

For  ages  45  and  above,  see  tables  on  pages  47-57. 


45 


Twenty  Year  Term  Policies 

AGE 

Reduced  Premiums  per  $1,000  of  Insurance 

Nearest 

Birthday 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$.71 

$2.12 

$4.20 

$8.28 

22 

.72 

2.14 

4.26 

8.38 

23 

.73 

2.17 

4.30 

8.48 

24 

.74 

2.20 

4.36 

8.59 

25 

.75 

2.23 

4.43 

8.71 

26 

.77 

2.26 

4.49 

8.84 

27 

.77 

2.30 

4.56 

8.98 

28 

.78 

2.34 

4.64 

9.14 

29 

.80 

2.39 

4.73 

9.32 

30 

.82 

2.43 

4.82 

9.50 

31 

.84 

2.49 

4.94 

9.73 

32 

.86 

2.56 

5.07 

9.98 

33 

.88 

2.63 

5.20 

10.25 

34 

.91 

2.70 

5.36 

10.66 

35 

.94 

2.79 

5.54 

10.91 

36 

.97 

2.89 

5.73 

11.29 

37 

1.01 

3.00 

5.96 

11.72 

38 

1.05 

3.12 

6.  19 

12.20 

39 

1.10 

3.26 

6.46 

12.74 

For  ages  40  and  above,  see  tables  on  pages  47-57- 


46 


Term  Insurance  Expiring  at  Age  60 

AGE 
Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$.85 

$2.51 

$4.98 

$9.81 

22 

.86 

2.54 

5.04 

9.92 

23 

.86 

2.67 

5.09 

10.04 

24: 

.87 

2.60 

5.  17 

10.17 

26 

.88 

2.64 

5.23 

10.30 

26 

.90 

2.67 

5.30 

10.44 

27 

.91 

2.71 

5.37 

10.58 

28 

.93 

2.75 

5.45 

10.74 

29 

.94 

2.79 

5.54 

10.90 

30 

.95 

2.84 

5.62 

11.07 

31 

.96 

2.88 

5.71 

11.24 

32 

.98 

2.93 

5.81 

11.43 

33 

1.00 

2.98 

5.90 

11.63 

34 

1.02 

3.02 

6.00 

11.83 

35 

1.04 

3.09 

6.  12 

12.05 

36 

.05 

3.14 

6.23 

12.28 

37 

.08 

3.20 

6.35 

12.52 

38 

.  10 

3.27 

6.49 

12.78 

39 

.  13 

3.34 

6.62 

18.05 

40 

.  14 

3.41 

6.77 

13.34 

41 

1.18 

3.52 

6.98 

13.74 

42 

1.21 

3.60 

7.  15 

14.08 

43 

1.24 

3.69 

7.33 

14.43 

44 

1.27 

3.  78 

7.51 

14.79 

45 

1.31 

3.89 

7.70 

15.18 

46 

1.34 

4.00 

7.92 

15.61 

47 

1.38 

4.  10 

8.  15 

16.06 

48 

1.42 

4.23 

8.39 

16.53 

49 

1.47 

4.36 

8.65 

17.05 

50 

1.51 

4.50 

8.93 

17.59 

51 

1.56 

4.64 

9.22 

18.  15 

52 

1.61 

4.80 

9.52 

18.77 

53 

1.67 

4.97 

9.86 

19.41 

54 

1.73 

6.  14 

10.20 

20.10 

55 

1.78 

5.32 

10.57 

20.82 

56 

',    1.86 

5.52 

10.94 

21.57 

57 

,1.92 

5.72 

11.36 

22.37 

58 

1.99 

5.94 

11.78 

23.22 

59 

2.07 

6.  17 

12.23 

24.  10 

47 


Term  Insurance  Expiring  at  Age  61 

AGE 
Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$.86 

$2.55 

$5.05 

$9.94 

22 

.86 

2.57 

5.11 

10.07 

28 

.87 

2.61 

5.  18 

10.19 

24 

.89 

2.65 

5.25 

10.33 

25 

.90 

2.68 

5.31 

10.47 

26 

.91 

2.72 

5.39 

10.61 

27 

.93 

2.75 

5.46 

10.76 

28 

.94 

2.80 

5.54 

10.93 

29 

.95 

2.84 

5.68 

11.  10 

30 

.97 

2.89 

5.72 

11.28 

31 

.98 

2.93 

5.81 

11.46 

32 

1.00 

2.98 

5.91 

11.66 

33 

1.02 

3.03 

6.03 

11.87 

34 

1.04 

3.09 

6.13 

12.08 

35 

1.06 

3.15 

6.25 

12.31 

36 

1.08 

3.21 

6.37 

12.56 

37 

1.10 

3.28 

6.51 

12.82 

38 

1.13 

3.38 

6.70 

13.  19 

39 

1.16 

3.45 

6.84 

13.48 

40 

1.  19 

3.53 

7.00 

13.79 

41 

1.22 

3.61 

7.16 

14.10 

42 

1.24 

8.70 

7.34 

14.45 

43 

1.27 

3.79 

7.52 

14.81 

44 

1.31 

3.89 

7.72 

15.21 

45 

1.34 

4.00 

7.94 

15.63 

46 

1.38 

4.  11 

8.  15 

16.07 

47 

1.42 

4.23 

8.40 

16.54 

48 

1.47 

4.36 

8.65 

17.05 

49 

1.51 

4.50 

8.93 

17.59 

50 

1.56 

4.64 

9.22 

18.15 

51 

1.61 

4.80 

9.52 

18.77 

52 

1.67 

4.96 

9.85 

19.40 

53 

1.72 

5.14 

10.20 

20.09 

54 

1.78 

5.32 

10.56 

20.81 

55 

1.85 

5.52 

10.94 

21.56 

56 

1.92 

5.72 

11.35 

22.37 

57 

1.99 

5.93 

11.77 

23.20 

58 

2.07 

6.  16 

12.22 

24.09 

59 

2.14 

6.40 

12.70 

25.03 

60 

2.23 

6.65 

13.19 

26.01 

48 


Term  Insurance  Expiring  at  Age  62 

AGE 
Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$.86 

$2.58 

$5.  12 

$10.09 

22 

.88 

2.61 

5.  18 

10.22 

23 

.89 

2.65 

5.26 

10.35 

24 

.90 

2.68 

5.32 

10.49 

25 

.92 

2.72 

5.40 

10.64 

26 

.93 

2.76 

5.48 

10.79 

27 

.95 

2.81 

5.56 

10.96 

28 

.95 

2.84 

5.64 

11.  12 

29 

.97 

2.89 

5.74 

11.30 

30 

.99 

2.94 

5.83 

11.48 

31 

1.01 

2.99 

5.93 

11.69 

32 

1.03 

3.04 

6.04 

11.90 

33 

.04 

3.  10 

6.  15 

12.11 

34 

.06 

3.  16 

6.26 

12.35 

35 

.08 

3.22 

6.39 

12.59 

36 

.12 

3.31 

6.58 

12.96 

37 

.  13 

3.38 

6.71 

13.23 

38 

.  16 

3.46 

6.86 

13.52 

39 

.  19 

3.54 

7.02 

13.82 

40 

.22 

3.62 

7.18 

14.15 

41 

.24 

3.  71 

7.35 

14.49 

42 

.28 

3.80 

7.63 

14.85 

43 

.31 

3.90 

7.73 

15.24 

44 

.34 

4.01 

7.94 

15.64 

45 

.38 

4.  11 

8.  16 

16.08 

46 

1.42 

4.24 

8.41 

16.56 

47 

1.47 

4.37 

8.66 

17.06 

48 

1.51 

4.50 

8.93 

17.59 

49 

1.56 

4.64 

9.22 

18.  15 

50 

1.61 

4.80 

9.52 

18.76 

51 

1.67 

4.96 

9.85 

19.40 

52 

1.72 

5.13 

10.  19 

20.08 

53 

1.  78 

5.32 

10.55 

20.79 

54 

1.85 

5.51 

10.94 

21.55 

55 

1.92 

5.72 

11.34 

22.35 

56 

1.99 

5.93 

11.76 

23.18 

57 

2.06 

6.16 

12.21 

24.08 

58 

2.14 

6.39 

12.69 

26.00 

59 

2.23 

6.64 

13.19 

25.99 

60 

2.32 

6.91 

13.72 

27.04 

49 


Term  Insurance  Expiring  at  Age  63 

AGE 
Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$.88 

$2.62 

$5.20 

$10.24 

22 

.89 

2.66 

5.27 

10.37 

23 

.91 

2.69 

5.34 

10.52 

24 

.92 

2.73 

6.41 

10.66 

25 

.93 

2.77 

5.49 

10.82 

26 

.95 

2.81 

5.57 

10.98 

27 

.96 

2.85 

5.66 

11.  15 

28 

.97 

2.90 

5.75 

11.33 

29 

.99 

2.95 

5.85 

11.52 

30 

1.01 

3.00 

5.95 

11.  72 

31 

1.03 

3.05 

6.06 

11.93 

32 

1.04 

3.  11 

6.  17 

12.15 

33 

1.06 

3.  17 

6.28 

12.38 

34 

1.  10 

3.26 

6.46 

12.74 

35 

1.12 

3.32 

6.59 

12.99 

36 

1.14 

3.39 

6.  73 

13.27 

37 

1.  16 

3.47 

6.88 

13.55 

38 

1.  19 

3.55 

7.04 

13.86 

39 

1.22 

3.63 

7.  19 

14.18 

40 

1.25 

3.72 

7.37 

14.52 

41 

1.28 

3.81 

7.55 

14.88 

42 

1.31 

3.91 

7.75 

15.26 

43 

1.34 

4.01 

7.96 

15.67 

44 

1.39 

4.  12 

8.  17 

16.  11 

45 

1.42 

4.24 

8.41 

16.  57 

46 

.47 

4.37 

8.66 

17.06 

47 

.51 

4.50 

8.93 

17.59 

48 

.56 

4.64 

9.22 

18.  15 

49 

.62 

4.82 

9.57 

18.86 

50 

.67 

4.99 

9.  89 

19.49 

51 

.73 

5.  16 

10.28 

20.  16 

52 

.79 

5.34 

10.59 

20.87 

53 

.85 

5.53 

10.97 

21.63 

54 

1.93 

5.73 

1JL.39 

22.43 

55 

2.00 

5.95 

11.81 

23.27 

56 

2.07 

6.  17 

12.26 

24.  16 

57 

2.  15 

6.42 

12.74 

25.09 

58 

2.23 

6.67 

13.23 

26.07 

59 

2.32 

6.93 

13.76 

27.  12 

60 

2.42 

7.21 

14.31 

28.21 

50 


Term  Insurance  Expiring  at  Age  64 

AGE 
Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$.89 

$2.66 

$5.27 

$10.39 

22 

.91 

2.  70 

5.36 

10.54 

23 

.92 

2.74 

6.43 

10.69 

24 

.94 

2.77 

5.50 

10.84 

25 

.95 

2.82 

5.59 

11.01 

26 

.96 

2.86 

6.68 

11.  18 

27 

.97 

2.91 

6.77 

11.36 

28 

.99 

2.95 

5.86 

11.65 

29 

1.01 

3.01 

5.96 

11.75 

30 

1.03 

3.06 

6.08 

11.96 

81 

1.04 

3.11 

6.  18 

12.  18 

32 

1.06 

3.  18 

6.30 

12.41 

33 

1.  10 

8.27 

6.48 

12.  76 

34 

1.12 

3.33 

6.61 

13.01 

85 

1.  14 

3.40 

6.  75 

13.29 

36 

1.  17 

3.47 

6.89 

13.57 

87 

1.20 

3.56 

7.05 

13.89 

38 

1.22 

3.64 

7.21 

14.20 

39 

1.25 

3.72 

7.38 

14.54 

40 

1.28 

3.82 

7.  57 

14.90 

41 

1.31 

3.91 

7.76 

16.28 

42 

1.35 

4.01 

7.97 

16.70 

43 

1.39 

4.  12 

8.  19 

16.  13 

44 

1.42 

4.24 

8.42 

16.59 

45 

1.48 

4.39 

8.  71 

17.  17 

46 

1.52 

4.53 

8.98 

17.69 

47 

1.57 

4.67 

9.26 

18.26 

48 

1.62 

4.82 

9.67 

18.86 

49 

1.67 

4.98 

9.88 

19.48 

50 

1.78 

5.  15 

10.22 

20.  14 

51 

1.79 

5.33 

10.  58 

20.84 

52 

1.85 

5.52 

10.95 

21.69 

53 

1.92 

6.72 

11.37 

22.89 

54 

1.99 

5.94 

11.78 

28.22 

55 

2.07 

6.17 

12.23 

24.  11 

56 

2.  15 

6.41 

12.  72 

25.06 

57 

2.23 

6.66 

13.21 

26.04 

58 

2.32 

6.92 

13.  73 

27.07 

59 

2.41 

7.20 

14.29 

28.16 

60 

2.51 

7.  50 

14.88 

29.32 

51 


Term  Insurance  Expiring  at  Age  65 

AGE 
Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$.91 

$2.70 

$5.36 

$10.55 

22 

.92 

2.  75 

5.44 

10.71 

23 

.94 

2.78 

6.51 

10.85 

24 

.95 

2.82 

5.60 

11.03 

25 

.96 

2.86 

5.69 

11.20 

26 

.98 

2.91 

6.78 

11.38 

27 

.99 

2.96 

'  5.87 

11.67 

28 

1.01 

3.02 

5.98 

11.77 

29 

1.03 

3.06 

6.08 

11.98 

30 

1.04 

3.  12 

6.19 

12.20 

81 

1.07 

3.19 

6.32 

12.44 

82 

1.  10 

3.28 

6.49 

12.79 

83 

1.  18 

3.34 

6.62 

13.06 

34 

1.  14 

3.41 

6.76 

13.32 

86 

1.  17 

3.48 

6.90 

13.61 

86 

1.20 

3.56 

7.06 

13.91 

87 

1.22 

3.64 

7.22 

14.23 

88 

1.25 

3.73 

7.39 

14.66 

89 

1.28 

8.81 

7.68 

14.92 

40 

1.31 

3.92 

7.77 

16.31 

41 

1.35 

4.01 

7.97 

15.71 

42 

1.39 

4.13 

8.  19 

16.14 

43 

1.42 

4.24 

8.42 

16.59 

44 

1.48 

4.39 

8.72 

17.  18 

45 

1.52 

4.53 

8.98 

17.69 

46 

1.57 

4.66 

9.26 

18.24 

47 

1.62 

4.82 

9.56 

18.84 

48 

1.67 

4.98 

9.87 

19.46 

49 

1.73 

5.  15 

10.21 

20.  12 

50 

1.78 

5.82 

10.57 

20.82 

51 

1.35 

5.51 

10.94 

21.56 

52 

1.93 

5.74 

11.39 

22.46 

58 

2.00 

5.96 

11.82 

23.29 

54 

2.07 

6.  18 

12.27 

24.  17 

55 

2.  15 

6.42 

12.74 

25.  10 

56 

2.23 

6.67 

13.24 

26.08 

57 

2.32 

6.93 

13.76 

27.18 

58 

2.42 

7.21 

14.32 

28.22 

59 

2.52 

7.51 

14.90 

29.38 

60 

2.62 

7.82 

15.62 

80.68 

Term  Insurance  Expiring  at  Age  66 

AGE 
Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$.92 

$2.75 

$5.45 

$10.72 

22 

.94 

2.78 

6.63 

10.88 

23 

.95 

2.83 

5.61 

11.05 

24 

.96 

2.87 

6.70 

11.21 

26 

.98 

2.92 

6.79 

11.39 

26 

1.00 

2.97 

6.89 

11.59 

27 

1.02 

3.02 

5.99 

11.79 

28 

.04 

3.07 

6.09 

12.00 

29 

.05 

3.  13 

6.21 

12  .  23 

80 

.07 

3.  19 

6.33 

12.46 

81 

.10 

*     3.28 

6.51 

12.82 

32 

.13 

3.34 

6.63 

13.07 

83 

1.14 

3.41 

6.77 

13.84 

84 

1.17 

3.48 

6.91 

13.68 

35 

1.20 

3.56 

7.07 

18.92 

36 

1.22 

3.65 

7.23 

14.25 

37 

1.26 

3.74 

7.41 

14.59 

38 

1.29 

3.83 

7.59 

14.95 

39 

1.31 

3.92 

7.78 

15.32 

40 

1.35 

4.02 

7.98 

15.72 

41 

.39 

4.  13 

8.20 

16.16 

42 

.42 

4.25 

8.42 

16.60 

43 

.48 

4.39 

8.72 

17.18 

44 

.52 

4.53 

8.98 

17.69 

45 

.57 

4.66 

9.25 

18.23 

46 

1.61 

4.81 

9.55 

18.81 

47 

1.67 

4.97 

9.86 

19.42 

48 

1.72 

5.  13 

10.19 

20.07 

49 

1.  78 

6.31 

10.64 

20.77 

50 

1.85 

5.53 

10.97 

21.62 

51 

1.92 

5.72 

11.37 

22.40 

52 

1.99 

6.94 

11.79 

23.23 

53 

2.07 

6.17 

12.23 

24.10 

54 

2.14 

6.40 

12.70 

25.03 

55 

2.24 

6.68 

13.26 

26.  12 

56 

2.33 

6.95 

13.78 

27.16 

57 

2.42 

7.23 

14.34 

28.25 

58 

2.62 

7.62 

14.92 

29.40 

59 

2.63 

7.83 

16.63 

30.62 

60 

2.74 

8.  15 

16.  18 

31.90 

Term  Insurance  Expiring  at  Age  67 

AGE 
Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$.94 

$2.79 

$5.53 

$10.89 

22 

.95 

2.84 

5.62 

11.06 

23 

.96 

2.87 

5.71 

11.23 

24 

.98 

2.93 

5.80 

11.42 

25 

1.00 

2.97 

5.90 

11.61 

26 

.02 

'3  .  02 

5.99 

11.80 

27 

.04 

3.08 

6.  10 

12.02 

28 

.05 

3.13 

6.21 

12.24 

29 

.08 

3.22 

6.39 

12.68 

30 

.  10 

3.29 

6.51 

12.83 

31 

1.13 

3.35 

6.64 

13.09 

32 

1.14 

3.42 

6.78 

13.36 

33 

1.  17 

3.49 

6.93 

13.64 

34 

1.20 

3.57 

7.08 

13.95 

35 

1.22 

3.65 

7.25 

14.27 

36 

1.25 

3.  74 

7.41 

14.60 

37 

1.29 

3.83 

7.60 

14.96 

38 

1.31 

3.92 

7.78 

15.33 

39 

1.35 

4.02 

7.98 

15.72 

40 

1.39 

4.13 

8.20 

16.  15 

41 

1.43 

4.28 

8.48 

16.70 

42 

1.48 

4.39 

8.71 

17.17 

43 

1.52 

4.53 

8.97 

17.69 

44 

1.57 

4.66 

9.24 

18.22 

45 

1.61 

4.81 

9.53 

18.78 

46 

1.67 

4.96 

9.85 

19.40 

47 

1.72 

5.  12 

10.  17 

20.03 

48 

1.79 

5.33 

10.58 

20.84 

49 

1.85 

5.52 

10.94 

21.56 

50 

1.92 

5.72 

11.34 

22.34 

51 

1.99 

5.92 

11.75 

23.17 

52 

2.06 

6.  15 

12.20 

24.03 

53 

2.  15 

6.41 

12.72 

25.06 

54 

2.23 

6.65 

13.20 

26.03 

55 

2.32 

6.92 

13.  73 

27.06 

56 

2.41 

7.20 

14.28 

28.  15 

57 

2.52 

7.52 

14.92 

29.41 

58 

2.63 

7.83 

15.53 

30.62 

59 

2.74 

8.  15 

16.  18 

31.90 

60 

2.85 

8.50 

16.87 

33.25 

Term  Insurance  Expiring  at  Age  68 

AGE 
Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$.95 

$2.84 

$5.62 

$11.07 

22 

.96 

2.88 

5.71 

11.24 

23 

.98 

2.93 

5.81 

11.43 

24 

1.00 

2.97 

5.90 

11.62 

25 

1.02 

3.02 

6.00 

11.82 

26 

.04 

3.08 

6.10 

12.02 

27 

.05 

3.  13 

6.22 

12.25 

28 

.08 

3.22 

6.40 

12.60 

29 

.  11 

3.29 

6.52 

12.83 

30 

.13 

3.35 

6.65 

13.10 

31 

.  15 

3.42 

6.  79 

13.37 

32 

.  17 

3.49 

6.93 

13.64 

33 

.20 

3.57 

7.08 

13.96 

34 

.22 

3.65 

7.25 

14.27 

35 

1.25 

3.74 

7.42 

14.61 

36 

1.29 

3.83 

7.60 

14.96 

37 

1.31 

3.92 

7.  78 

15.33 

38 

1.35 

4.02 

7.98 

15.72 

39 

1.39 

4.  13 

8.20 

16.  15 

40 

1.43 

4.27 

8.47 

16.70 

41 

1.48 

4.39 

8.71 

17.  16 

42 

1.51 

4.52 

8.96 

17.67 

43 

1.57 

4.65 

9.23 

18.20 

44 

1.61 

4.80 

9.52 

18.76 

45 

1.66 

4.95 

9.82 

19.35 

46 

1.  72 

5.  11 

10.  15 

20.00 

47 

1.  78 

5.31 

10.54 

20.77 

48 

1.85 

5.50 

10.91 

21.49 

49 

1.91 

5.70 

11.30 

22.27 

50 

1.98 

5.90 

11.71 

23.08 

51 

2.06 

6.  15 

12.20 

24.05 

52 

2.  14 

6.38 

12.66 

24.96 

53 

2.22 

6.  63 

13.  16 

25.93 

54 

2.31 

6.89 

13.67 

26.95 

55 

2.41 

7.  19 

14.27 

28.  13 

56 

2.61 

7.49 

14.86 

29.29 

57 

2.61 

7.79 

15.48 

30.50 

58 

2.74 

8.  15 

16.  17 

31.88 

59 

2.84 

8.50 

16.86 

33.23 

60 

2.97 

8.86 

17.58 

34.65 

55 


Term  Insurance  Expiring  at  Age  69 

AGE 

Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$.96 

$2.88 

$5.72 

$11.25 

22 

.98 

2.93 

5.81 

11.43 

23 

1.00 

2.97 

5.90 

11.62 

24 

1.02 

3.02 

6.00 

11.83 

25 

1.04 

3.08 

6.11 

12.04 

26 

1.05 

3.13 

6.22 

12.26 

27 

1.08 

3.22 

6.40 

12.60 

28 

1.11 

3.29 

6.52 

12.84 

29 

1.18 

3.35 

6.65 

13.10 

30 

1.15 

3.42 

6.79 

13.37 

31 

1.17 

3.49 

6.93 

13.65 

32 

1.20 

3.57 

7.08 

13.96 

33 

1.22 

3.65 

7.25 

14.27 

34 

1.25 

3.74 

7.41 

14.60 

35 

1.29 

3.83 

7.59 

14.95 

36 

1.31 

3.92 

7.78 

15.33 

87 

1.35 

4.02 

7.97 

16.71 

38 

1.39 

4.  12 

8.19 

16.  13 

39 

1.43 

4.27 

8.46 

16.68 

40 

1.47 

4.38 

8.70 

17.  15 

41 

1.61 

4.51 

8.95 

17.63 

42 

1.66 

4.64 

9.22 

18.16 

43 

1.60 

4.79 

9.50 

18.71 

44 

1.66 

4.94 

9.80 

19.31 

45 

1.71 

5.09 

10.12 

19.94 

46 

1.77 

6.29 

10.51 

20.71 

47 

1.84 

5.48 

10.87 

21.42 

48 

1.90 

5.67 

11.25 

22.18 

49 

1.97 

5.88 

11.66 

22.99 

50 

2.06 

6.12 

12.15 

23.94 

51 

2.13 

6.35 

12.61 

24.84 

52 

2.21 

6.60 

18.10 

25.80 

53 

2.30 

6.86 

18.61 

26.82 

54 

2.40 

7.16 

14.21 

28.00 

55 

2.60 

7.46 

14.79 

29.  14 

56 

2.60 

7.76 

16.39 

30.34 

57 

2.72 

8.11 

16.09 

31.72 

68 

2.84 

8.45 

16.78 

38.06 

59 

2.96 

8.81 

17.50 

34.48 

60 

3.08 

9.  19 

18.25 

35.96 

Term  Insurance  Expiring  at  Age  70 

AGE 
Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$.98 

$2.93 

$5.81 

$11.43 

22 

1.00 

2.97 

5.90 

11.62 

23 

1.02 

3.02 

6.00 

11.83 

24 

1.04 

3.08 

6.  11 

12.04 

25 

1.05 

3.  13 

6.22 

12.26 

26 

1.08 

3.22 

6.40 

12.60 

27 

1.11 

3.29 

6.52 

12.83 

28 

1.18 

3.35 

6.65 

13.  10 

29 

1.15 

3.42 

6.79 

13.37 

30 

1.17 

3.49 

6.93 

18.64 

31 

1.20 

3.57 

7.08 

13.96 

32 

1.22 

3.65 

7.24 

14.26 

33 

1.25 

3.74 

7.41 

14.59 

34 

1.29 

3.83 

7.59 

14.94 

35 

1.31 

3.92 

7.77 

15.31 

36 

1.35 

4.01 

7.97 

15.70 

87 

1.39 

4.  12 

8.17 

16.11 

38 

1.43 

4.26 

8.45 

16.65 

39 

1.47 

4.37 

8.69 

17.12 

40 

1.51 

4.50 

8.93 

17.60 

41 

1.66 

4.64 

9.20 

18.  12 

42 

1.60 

4.77 

9.48 

18.67 

43 

1.65 

4.92 

9.77 

19.24 

44 

1.70 

5.08 

10.08 

19.86 

45 

1.77 

5.27 

10.47 

20.63 

46 

1.83 

5.45 

10.83 

21.33 

47 

1.89 

5.64 

11.20 

22.07 

48 

1.96 

5.84 

11.60 

22.86 

49 

2.04 

6.09 

12.09 

23.82 

50 

2.  12 

6.32 

12.54 

24.71 

51 

2.20 

6.56 

13.02 

25.66 

52 

2.29 

6.81 

13.53 

26.66 

53 

2.39 

7.  11 

14.12 

27.83 

54 

2.48 

7.41 

14.70 

28.96 

55 

2.59 

7.73 

15.86 

30.26 

56 

2.70 

8.06 

16.99 

31.52 

57 

2.82 

8.40 

16.68 

32.86 

58 

2.93 

8.76 

17.39 

34.26 

59 

3.07 

9.17 

18.20 

36.87 

60 

3.20 

9.57 

18.99 

37.43 

57 


Life  Policies 

Premiums  Payable  during  Life  ;  or 
Premiums  Payable  for  Twenty  Years  ;  or 
Premiums  Ceasing  at  Age  65. 
Insurance  Payable  at  Death. 
Disability  Waiver  of  Premium  Benefit. 

Loan,  Cash  Surrender,  and  Non-forfeiture 
Provisions. 

Tables  of  Reduced  Premiums  payable  if  the 
insured  is  employed  by  a  College,  University, 
or  institution  engaged  primarily  in  educa- 
tional or  research  work. 


[58 


Whole  Life  Policies 

AGE 
Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$1.20 

$3.56 

$7.06 

$13.91 

22 

.22 

3.64 

7.21' 

14.21 

23 

.25 

3.73 

7.89 

14.55 

24 

.28 

3.81 

7.56 

14.90 

25 

.31 

3.91 

7.74 

16.26 

26 

.34 

4.01 

7.94 

15.65 

27 

.38 

4.  10 

8.  15 

16.06 

28 

.41 

4.21 

8.36 

16.48 

29 

.45 

4.33 

8.60 

16.93 

30 

.49 

4.46 

8.83 

17.40 

31 

1.54 

4.58 

9.08 

17.90 

32 

1.58 

4.72 

9.35 

18.42 

33 

1.63 

4.85 

9.63 

18.97 

34 

1.67 

6.00 

9.92 

19.55 

35 

1.73 

6.  17 

10.24 

20.  19 

36 

1.79 

5.33 

10.58 

20.84 

37 

1.85 

6.61 

10.93 

21.54 

38 

1.91 

6.70 

11.30 

22.28 

39 

1.98 

6.90 

11.70 

23.06 

40 

2.04 

6.10 

12.  11 

23.88 

41 

2.12 

6.34 

12.67 

24.78 

42 

2.21 

6.57 

13.04 

26.70 

43 

2.29 

6.82 

13.65 

26.69 

44 

2.38 

7.10 

14.09 

27.77 

45 

2.48 

7.38 

14.65 

28.88 

46 

2.57 

7.69 

15.26 

30.08 

47 

2.69 

8.02 

15.91 

31.87 

48 

2.81 

8.36 

16.61 

32.72 

49 

2.93 

8.74 

17.34 

34.18 

50 

3.06 

9.14 

18.  14 

35.75 

51 

3.20 

9.66 

18.98 

37.40 

52 

3.36 

10.01 

19.86 

39.  15 

53 

3.52 

10.49 

20.82 

41-03 

54 

3.69 

11.00 

21.83 

43.04 

65 

3.87 

11.55 

22.91 

45.17 

56 

4.06 

12.  12 

24.07 

47.44 

57 

4.27 

12.74 

25.30 

49.86 

58 

4.49 

13.40 

26.60 

52.44 

59 

4.73 

14.10 

27.99 

66.  17 

60 

4.97 

14.84 

29.46 

68.06 

59 


Limited  Payment  Life  Policies 

Fully  paid-up  at  the  end  of  20  years 

AGE 
Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$1.82 

$5.41 

$10.75 

$21.17 

22 

1.85 

5.50 

10.92 

21.61 

23 

1.87 

5.59 

11.  10 

21.87 

24 

1.91 

5.69 

11.29 

22.26 

25 

1.94 

5.79 

11.48 

22.64 

26 

1.98 

5.90 

11.69 

23.04 

27 

2.01 

5.99 

11.90 

23.45 

28 

2.05 

6.  11 

12.12 

23.90 

29 

2.09 

6.23 

12.36 

24.35 

30 

2.12 

6.35 

12.60 

24.82 

31 

2.  17 

6.48 

12.85 

25.34 

32 

2.21 

6.62 

13.12 

25.86 

33 

2.26 

6.75 

13.39 

26.40 

34 

2.31 

6.89 

13.68 

26.96 

35 

2.37 

7.05 

13.99 

27.67 

36 

2.41 

7.21 

14.30 

28.19 

37 

2.48 

7.37 

14.63 

28.84 

38 

2.53 

7.55 

14.98 

29.62 

39 

2.59 

7.73 

15.35 

30.24 

40 

2.66 

7.93 

15.74 

31.02 

41 

2.73 

8.13 

16.  14 

31.81 

42 

2.80 

8.35 

16.67 

32.66 

43 

2.88 

8.59 

17.04 

33.67 

44 

2.96 

8.83 

17.51 

34.52 

45 

3.04 

9.08 

18.04 

35.64 

46 

3.14 

9.36 

18.58 

36.61 

47 

3.24 

9.66 

19.  16 

37.  76 

48 

3.34 

9.96 

19.77 

38.98 

49 

3.45 

10.29 

20.42 

40.26 

50 

8.56 

10.64 

21.12 

41.63 

51 

3.69 

11.01 

21.85 

43.07 

52 

3.83 

11.40 

22.64 

44.61 

58 

3.96 

11.82 

23.46 

46.24 

54 

4.11 

12.27 

24.35 

47.99 

55 

4.27 

12.74 

25.29 

49.84 

56 

4.44 

13.25 

26.30 

51.83 

67 

4.62 

18.79 

27.37 

63.95 

58 

4.82 

14.36 

28.61 

56.20 

59 

5.02 

14.98 

29.73 

68.60 

60 

5.24 

15.63 

31.03 

61.  16 

60 


Limited  Payment  Life  Policies 

Fully  paid-up  at  Age  65 

AGE 
Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$1.26 

$3.74 

$7.43 

$14.63 

22 

1.29 

3.83 

7.61 

14.99 

23 

1.32 

3.94 

7.82 

15.41 

24 

.36 

4.04 

8.03 

15.81 

25 

.40 

4.  16 

8.25 

16.25 

26 

.43 

4.28 

8.48 

16.71 

27 

.48 

4.40 

8.74 

17.22 

28 

.62 

4.54 

9.00 

17.73 

29 

.67 

4.68 

9.29 

18.30 

80 

.62 

4.83 

9.59 

18.88 

31 

1.67 

5.00 

9.91 

19.52 

32 

1.73 

6.  17 

10.24 

20.19 

33 

1.79 

6.85 

10.61 

20.91 

34 

1.86 

5.54 

11.00 

21.68 

35 

1.94 

5.76 

11.43 

22.52 

36 

2.01 

5.98 

11.87 

23.39 

87 

2.09 

6.23 

12.37 

24.36 

38 

2.  18 

6.49 

12.88 

25.38 

39 

2.27 

6.77 

13.44 

26.49 

40 

2.38 

7.08 

14.05 

27.69 

41 

2.48 

7.41 

14.71 

28.99 

42 

2.61 

7.78 

15.44 

80.43 

43 

2.  74 

8.  17 

16.22 

81.97 

44 

2.88 

8.60 

17.08 

33.66 

45 

3.04 

9.08 

18.04 

35.54 

46 

3.22 

9.61 

19.08 

37.60 

47 

3.42 

10.19 

20.23 

39.87 

48 

3.64 

10.85 

21.53 

42.43 

49 

3.88 

11.57 

22.97 

45.27 

50 

4.  15 

12.39 

24.60 

48.48 

51 

4.46 

13.32 

26.44 

52.  11 

52 

4.82 

14.38 

28.55 

56.28 

53 

5.23 

16.62 

31.00 

61.09 

54 

5.72 

17.06 

83.85 

66.72 

55 

6.28 

18.76 

37.23 

73.39 

56 

6.98 

20.82 

41.32 

81.45 

57 

7.82 

23.36 

46.37 

91.40 

58 

8.91 

26.59 

52.78 

104.04 

59 

10.33 

30.83 

61.22 

120.67 

60 

12.29 

36.71 

72.88 

143.67 

61 


Endowment  Insurance  Policies 

Insurance  Payable  at  End  of  Endowment 
Period  or  at  Prior  Death. 

Premiums  Payable  Until  Maturity. 
Disability  Waiver  of  Premium  Benefit. 

Loan,  Cash  Surrender,  and  Non-forfeiture 
Provisions. 

Tables  of  Reduced  Premiums  payable  if  the 
insured  is  employed  by  a  College,  University, 
or  institution  engaged  primarily  in  educa- 
tional or  research  work. 


Endowment  Insurance  Policies 

Maturing  at  Age  65 

AGE 
Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$1.41 

$4.22 

$8.37 

$16.50 

22 

1.46 

4.34 

8.61 

16.97 

23 

1.50 

4.46 

8.87 

17.47 

24 

1.55 

4.60 

9.14 

17.99 

25 

1.59 

4.74 

9.41 

18.54 

26 

1.64 

4.90 

9.71 

19.  14 

27 

1.70 

5.06 

10.04 

19.78 

28 

1.76 

5.23 

10.37 

20.44 

29 

1.82 

5.41 

10.74 

21.15 

30 

1.88 

5.60 

11.  12 

21.91 

31 

1.94 

5.81 

11.53 

22.72 

32 

2.03 

6.03 

11.98 

23.60 

33 

2.  11 

6.26 

12.44 

24.52 

34 

2.  19 

6.53 

12.95 

25.52 

35 

2.28 

6.80 

13.49 

26.59 

36 

2.38 

7.09 

14.07 

27.73 

37 

2.48 

7.41 

14.70 

28.96 

38 

2.60 

7.75 

15.37 

30.30 

39 

2.72 

8.  12 

16.  11 

31.  76 

40 

2.85 

8.51 

16.90 

33.32 

41 

3.01 

8.96 

17.78 

35.04 

42 

3.  16 

9.43 

18.72 

36.90 

43 

3.34 

9.95 

19.76 

38.93 

44 

3.53 

10.53 

20.90 

41.18 

45 

3.74 

11.  16 

22.15 

43.66 

46 

3.98 

11.86 

23.54 

46.40 

47 

4.23 

12.64 

25.08 

49.44 

48 

4.53 

13.51 

26.82 

52.86 

49 

4.85 

14.49 

28.  76 

56.68 

50 

5.23 

15.60 

30.96 

61.02 

51 

5.65 

16.86 

33.46 

66.96 

52 

6.14 

18.31 

36.34 

71.64 

53 

6.70 

20.00 

39.69 

78.24 

54 

7.86 

21.98 

43.63 

86.00 

55 

8.15 

24.35 

48.34 

95.28 

56 

9.  12 

27.23 

54.05 

106.54 

57 

10.31 

30.80 

61.  15 

120.54 

58 

11.84 

35.36 

70.21 

138.39 

59 

13.87 

41.41 

82.21 

162.05 

60 

16.69 

49.81 

98.88 

194.92 

03 


Ten  Year  Endowment 

AGE 
Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$7.41 

$22  .  10 

$43  .  88 

$86.48 

22 

7.41 

22.11 

43.89 

86.52 

23 

7.41 

22.11 

43.90 

86.54 

24 

7.42 

22.  13 

43.93 

86.59 

26 

7.42 

22.  14 

43.95 

86.63 

26 

7.42 

22.  15 

43.97 

86.67 

27 

7.43 

22.  16 

43.98 

86.71 

28 

7.43 

22.18 

44.02 

86.77 

29 

7.43 

22.  19 

44.05 

86.82 

30 

7.43 

22.20 

44.07 

86.88 

31 

7.44 

22.22 

44.  11 

86.94 

32 

7.45 

22.23 

44.  14 

87.00 

33 

7.45 

22.26 

44.  18 

87.08 

34 

7.46 

22.28 

44.23 

87.17 

35 

7.47 

22.30 

44.27 

87.27 

36 

7.48 

22.33 

44.33 

87.38 

87 

7.49 

22.36 

44.39 

87.49 

38 

7.50 

22.39 

44.45 

87.62 

39 

7.52 

22.43 

44.52 

87.77 

40 

7.52 

22.46 

44.60 

87.92 

41 

7.54 

22.52 

44.69 

88.  10 

42 

7.56 

22.56 

44.79 

88.30 

43 

7.58 

22.63 

44.91 

88.52 

44 

7.61 

22.69 

45.05 

88.79 

45 

7.62 

22.  76 

45.18 

89.06 

46 

7.65 

22.85 

45.36 

89.42 

47 

7.69 

22.94 

45.55 

89.78 

48 

7.72 

23.05 

45.77 

90.21 

49 

7.77 

23.18 

46.02 

90.70 

50 

7.81 

23.32 

46.30 

91.25 

51 

7.87 

23.48 

46.61 

91.87 

52 

7.93 

23.66 

46.97 

92.58 

53 

7.99 

23.86 

47.37 

93.37 

54 

8.07 

24.09 

47.83 

94.27 

55 

8.  15 

24.35 

48.34 

95.28 

56 

8.25 

24.64 

48.92 

96.44 

57 

8.36 

24.95 

49.54 

97.64 

58 

8.47 

25.27 

50.  18 

98.91 

59 

8.59 

25.62 

50.86 

100.25 

60 

8.70 

25.97 

51.56 

101.65 

64 


Fifteen  Year  Endowment 

AGE 

Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$4.68 

$13.96 

$27.70 

$64.60 

22 

4.68 

13.97 

27.73 

54.65 

23 

4.68 

13.98 

27.75 

64.69 

24 

4.69 

13.99 

27.77 

64.74 

25 

4.69 

14.00 

27.79 

54.78 

26 

4.70 

14.01 

27.82 

54.84 

27 

4.  70 

14.03 

27.86 

64.90 

28 

4.71 

14.05 

27.88 

64.96 

29 

4.  72 

14.07 

27.92 

66.03 

30 

4.  72 

14.09 

27.95 

56.  11 

31 

4.73 

14.  10 

28.00 

55.  19 

32 

4.73 

14.  13 

28.04 

55.28 

33 

4.74 

14.  15 

28.09 

65.37 

34 

4.75 

14.18 

28.  15 

56.49 

35 

4.76 

14.21 

28.22 

55.61 

86 

4.77 

14.25 

28.28 

56.75 

37 

4.79 

14.29 

28.37 

56.91 

38 

4.81 

14.34 

28.45 

56.08 

39 

4.82 

14.38 

28.65 

56.27 

40 

4.83 

14.44 

28.66 

56.48 

41 

4.86 

14.50 

28.78 

66.73 

42 

4.88 

14.57 

28.92 

57.01 

43 

4.91 

14.65 

29.08 

67.31 

44 

4.94 

14.74 

29.26 

67.67 

45 

4.97 

14.84 

29.46 

68.06 

46 

5.01 

14.96 

29.69 

68.52 

47 

5.06 

15.08 

29.95 

59.03 

48 

5.  10 

15.24 

80.25 

59.63 

49 

5.17 

16.41 

30.58 

6O.28 

50 

5.23 

15.60 

30.96 

61.02 

51 

6.30 

15.81 

31.38 

61.87 

52 

5.37 

16.04 

31.84 

62.77 

53 

5.46 

16.30 

82.35 

63.77 

54 

5.55 

16.57 

32.90 

64.85 

55 

5.65 

16.88 

33.50 

66.02 

56 

5.76 

17.21 

34.16 

67.82 

.      57 

5.89 

17.57 

34.87 

68.72 

58 

6.01 

17.96 

86.65 

70.26 

59 

6.  16 

18.38 

36.60 

71.98 

60 

6.32 

18.85 

37.41 

73.76 

65 


Twenty  Year  Endowment 

AGE 

Nearest 
Birthday 

Reduced  Premiums  per  $1,000  of  Insurance 

Monthly 

Quarterly 

Semi-Annual 

Annual 

21 

$3.35 

$9.99 

$19.83 

$39.07 

22 

3.35 

10.00 

19.85 

39.  11 

23 

3.36 

10.02 

19.88 

39.  18 

24 

3.36 

10.03 

19.90 

39.22 

25 

3.37 

10.04 

19.94 

39.29 

26 

3.38 

10.06 

19.96 

39.35 

2*7 

3.38 

10.08 

20.00 

39.42 

28 

3.38 

10.  10 

20.04 

39.51 

29 

3.39 

10.  12 

20.09 

39.59 

30 

3.40 

10.  14 

20.  14 

39.69 

31 

3.41 

10.  17 

20.20 

39.80 

32 

3.42 

10.21 

20.25 

39.92 

33 

3.43 

10.23 

20.31 

40.04 

34 

3.45 

10.28 

20.39 

40.  19 

35 

3.46 

10.31 

20.48 

40.87 

36 

3.47 

10.36 

20.57 

40.54 

37 

3.49 

10.41 

20.67 

40.75 

38 

3.51 

10.48 

20.79 

40.98 

39 

3.54 

10.54 

20.93 

41.24 

40 

3.56 

10.62 

21.08 

41.64 

41 

3.58 

10.70 

21.23 

41.85 

42 

3.62 

10.80 

21.43 

42.24 

43 

3.65 

10.90 

21.64 

42  .  65 

44 

3.69 

11.03 

21.88 

43.  12 

45 

3.74 

11.  16 

22.  15 

43.66 

46 

3.79 

11.31 

22.46 

44.26 

47 

3.85 

11.48 

22.79 

44.92 

48 

3.92 

11.67 

23.  18 

45.68 

49 

3.98 

11.88 

23.58 

46.49 

50 

4.06 

12.11 

24.03 

47.37 

51 

4.14 

12.37 

24.54 

48.38 

52 

4.24 

12.64 

25.09 

49.46 

53 

4.34 

12.94 

25.70 

50.65 

54 

4.46 

13.28 

26.37 

51.98 

55 

4.57 

13.65 

27.  11 

53.43 

56 

4.72 

14.07 

27.92 

55.03 

57 

4.86 

14.51 

28.80 

56.77 

58 

5.02 

14.99 

29.77 

58.68 

59 

5.20 

15.53 

30.83 

60.75 

60 

5.39 

16.10 

31.96 

62.99 

66 


Survivorship  Annuities 

The  Association  offers  its  policy  on  this  plan 
to  the  teacher  who  seeks  insurance  to  make 
certain,  lifelong  provision  for  a  single  de- 
pendent. The  cost  of  this  form  of  insurance 
is  low,  because  the  policy  terminates  at  the 
death  of  the  person  for  whom  the  provision  is 
intended.  Premium  rates  depend  upon  the 
age,  nearest  birthday,  and  sex,  of  both 
annuitant  and  insured.  If  the  annuitant  is 
older  than,  or  but  little  younger  than,  the 
insured,  the  rates  are  especially  attractive. 

Survivorship  Annuity 

The  policy  provides  annuity,  payable 
monthly,  to  the  annuitant.  The  annuity  com- 
mences at  the  death  of  the  insured,  and  con- 
tinues as  long  as  the  annuitant  lives  thereafter. 

Premiums 

Premiums  are  payable  until  the  insured 
reaches  age  sixty-five,  at  which  time  the  policy 
becomes  fully  paid-up.  At  the  death  of  the 
annuitant,  the  contract  expires,  and  no 
further  annuity,  and  no  return  of  premiums, 
is  payable.  It  is  impracticable  to  publish 
complete  tables  of  premiums  for  all  combina- 
tions of  age  and  sex.  The  premiums  shown 
are  applicable  if  the  insured  is  a  man,  and  the 
annuitant,  a  woman  of  the  same  age.  Rates 
[67] 


for  other  combinations  will  be  furnished  upon 
request. 

Disability  Benefit 

Policies  on  the  above  mentioned  plan  con- 
tain a  clause  providing  that  the  policy  will 
be  continued  in  full  force  without  further 
payment  of  premiums,  in  the  event  of  the 
insured  becoming  totally  and  permanently 
disabled  before  reaching  the  age  of  sixty-five. 

Non-forfeiture  Provision 

After  the  policy  has  been  in  force  three 
years,  upon  any  subsequent  default  in  the 
payment  of  premiums,  the  policy  becomes 
paid-up  for  a  reduced  amount  of  annuity. 
No  cash  surrender  or  loan  privilege  can  be 
granted  in  this  form  of  policy. 

Insurability 

The  insured  will  be  required  to  furnish 
evidence  of  good  health. 

Survivorship  Annuity  Rates 

In  the  table  following  are  shown  the  Reduced 
Premiums  per  $10  Monthly  Annuity  begin- 
ning at  the  death  of  the  Insured,  and  payable 
during  the  life  of  the  Annuitant  thereafter, 
if  the  Insured  is  employed  by  a  College,  Uni- 
versity, or  institution  engaged  primarily  in 
educational  or  research  work. 
[68] 


Survivorship  Annuity  of  $10  Monthly 

Insured,  a  Man;  Annuitant,  a  Woman. 
Insured  and  Annuitant  of  Equal  Age 
Policy  fully  paid-up  at  Age  65 

AGES 

No.  of  Monthly 
Premiums 
Payable 

Reduced 
Monthly 
Premium 

Reduced 
Annual 
Premium 

21  :  21 

528 

$1.98 

$23  .04 

22  :22 

616 

2.00 

28.27 

23  :23 

504 

2.02 

23.54 

24  :24 

492 

2.04 

23.82 

26  :25 

480 

2.07 

24.15 

26  :26 

468 

2.10 

24.46 

27  :27 

456 

2.12 

24.80 

28  :28 

444 

2.16 

25.16 

29  :29 

432 

2.19 

25.64 

30  :30 

420 

2.22 

25.97 

31  :81 

408 

2.27 

26.41 

32  :32 

396 

2.30 

26.88 

33  :  33 

384 

2.35 

27.39 

34  :34 

372 

2.39 

27.93 

35  :35 

360 

2.44 

28.50 

36  :36 

348 

2.49 

29.12 

37  :37 

336 

2.56 

29.80 

38  :38 

324 

2.61 

30.49 

39  :39 

312 

2.68 

31.27 

40  :  40 

800 

2.75 

32.09 

41  :  41 

288 

2.83 

82.98 

42  :42 

276 

2.91 

38.90 

43  :43 

264 

3.00 

34.93 

44  :44 

252 

3.09 

36.04 

45  :45 

240 

3.20 

37.25 

46  :46 

228 

3.30 

38.56 

47  :47 

216 

3.43 

40.00 

48  :48 

204 

3.56 

41.58 

49  :  49 

192 

3.71 

43.32 

50  :50 

180 

3.88 

46  .27 

51  :51 

168 

4.06 

47.43 

62  :52 

156 

4.28 

49.89 

63  :53 

144 

4.52 

52.71 

54  :54 

132 

4.79 

55.95 

65  :55 

120 

5.12 

59.80 

66  :  56 

108 

5.52 

64.39 

67  :67 

96 

5.99 

70.06 

68  :  58 

84 

6.61 

77.15 

59  :  59 

72 

7.40 

86.45 

60  :  60 

60 

8.61 

99.85 

69 


The  Combination 
of  Annuity  and  Insurance 

The  principal  risks  of  dependency  that  con- 
front the  teacher  are  two — the  risk  of  his  own 
premature  death  and  the  consequent  de- 
pendence of  his  family,  and  secondly  the  risk 
of  dependence  for  himself  and  his  family 
should  he  live  to  an  age  when  his  income- 
earning  capacity  has  deteriorated.  The  first 
of  these  risks  is  covered  by  life  insurance,  the 
second  by  an  annuity.  The  two  contracts  may 
be  drawn  so  as  to  supplement  one  another. 
The  Association  will  furnish  such  contracts 
in  the  form  suited  to  the  circumstances  of  the 
teacher's  life. 

It  is  generally  assumed  that  the  teacher 
alone  is  responsible  for  the  protection  pro- 
vided by  life  insurance.  An  old  age  annuity 
provides  protection  in  which  both  the  teacher 
and  his  college  are  interested,  so  that  it 
should  rest  on  their  joint  payments.  The 
college,  as  an  employer,  has  a  direct  financial 
interest  in  the  development  of  an  agency  by 
means  of  which  its  teachers  may  look  forward 
to  retirement  in  old  age.  No  arrangement  for 
such  retirement  will  be  satisfactory  to  either 
the  college  or  to  the  teacher  except  one  that 
has  the  definiteness  and  security  of  a  contract. 
Both  to  the  teacher  and  to  his  college  the 
[70] 


Association  offers  the  most  secure  and  least 
expensive  means  for  the  retirement  of  teach- 
ers when  their  active  service  ends. 

Policies  Adapted  to  the  Needs  of  Teachers 
In  addition  to  annuities  as  a  provision  for 
retirement,  the  Association  offers  life  insur- 
ance policies,  which  include  not  only  the  cus- 
tomary forms,  but  also  forms  especially 
adapted  to  meet  the  needs  of  teachers,  and  to 
supplement  the  protection  given  by  an  annuity . 
The  teacher  who  anticipates  retirement  on 
an  annuity  is  in  a  different  position  with 
respect  to  insurance  from  the  man  who  does 
not  anticipate  such  a  privilege.  The  individ- 
ual in  the  financial  situation  of  the  teacher 
will  serve  his  own  interest  best  in  obtain- 
ing, during  the  period  of  his  active  service, 
the  largest  protection  he  can  afford  against 
the  risk  of  premature  death,  taking  such 
policies  as  will  articulate,  in  case  of  his  sur- 
vival, with  his  old  age  annuity.  For  him, 
insurance  has  served  its  chief  purpose  when 
his  active  service  has  ended.  After  that  time 
he  has  little  income  earning  value  to  insure, 
nor  is  he  likely  to  have  either  the  need  for, 
or  the  means  to  continue  payments  upon, 
costly  policies. 

Unless,  therefore,  the  teacher  has  an  in- 
come independent  of  his  earnings,  his  needs 
are  best  met  by  a  form  of  insurance  upon 
which  payments  cease  at  the  end  of  his  active 
service. 

[711 


Such  policies  may  be  either  term  policies 
terminating  at  a  stated  age,  or  life  policies 
fully  paid  at  a  stated  age,  for  example,  sixty- 
five;  or  better  still,  a  combination  of  the  two. 
In  any  case  the  teacher's  interest  is  best 
served  in  using  life  insurance  solely  for  its 
legitimate  purpose — the  protection  of  his 
dependents  against  loss  of  income  because  of 
his  death. 

The  college  teacher  in  the  United  States 
and  Canada  ordinarily  becomes  a  permanent 
member  of  his  profession  at  about  the  age  of 
thirty  when  he  is  promoted  from  the  position 
of  assistant  to  that  of  instructor,  a  term  often 
equivalent  to  that  of  lecturer  in  Canada.  He 
receives  at  this  time  from  $1,200  to  $1,600  a 
year  as  salary.  Ordinarily,  he  marries  be- 
fore the  age  of  thirty-five.  If  he  remains  a 
college  teacher  he  may  expect  by  the  time  he 
is  forty-five  to  have  a  salary  of  between  three 
and  four  thousand  dollars.  In  the  larger  in- 
stitutions the  salary  will  be  higher  than  this, 
in  the  smaller  colleges,  lower. 

Looking  forward  to  life  upon  the  modest 
income  of  a  teacher,  he  is  bound  to  protect, 
to  the  best  of  his  ability,  his  family  and  him- 
self against  dependence.  To  do  this  he  needs 
a  combination  of  insurance  with  an  old  age 
annuity. 

The  Maximum  Protection 

Assuming  that  he  is  dependent  upon  his 
salary  alone,  the  arrangement  that  will  best 

[72] 


suit  his  needs  will  be  one  under  which  he  gets 
the  maximum  protection  for  that  part  of  his 
money  paid  for  insurance  during  the  life  of 
the  policy  or  policies,  and  the  maximum 
accumulation  upon  the  payments  made  to 
secure  the  old  age  annuity  should  it  be  needed; 
with  the  provision  that  in  case  of  death  before 
the  annuity  begins,  both  the  insurance  and 
the  accumulation  for  the  annuity  shall  be 
available  to  his  dependent  wife  or  children. 

The  function  of  the  Association  is  to  furnish 
such  policies  at  terms  within  the  reasonable 
limit  of  the  teacher's  salary,  so  that  he  may 
be  able  to  carry  a  fair  insurance  for  the  pro- 
tection of  his  family,  and  to  join  with  his 
college  in  providing  an  annuity  available  for 
the  use  of  himself  and  his  wife,  if  she  sur- 
vives, in  old  age. 

To  illustrate  the  advantage  to  the  teacher 
of  a  combination  of  insurance  and  annuity 
contracts  the  following  examples  are  taken: 

I.  To  use  a  very  simple  case,  assume  a 
teacher  aged  thirty  with  a  salary  of  $1,500 
a  year.  He  decides  to  carry  $5,000  term  in- 
surance to  age  sixty -five,  and  to  pro  vide  an 
annuity  commencing  at  that  age  of  $1,000 
yearly.  A  payment  of  $5.20  a  month  will 
provide  the  insurance.  A  payment  of  $5.00 
a  month  by  the  teacher  and  a  similar  pay- 
ment by  his  college  will  provide  the  annuity 
to  be  available  at  sixty-five. 
[731 


Should  he  die  in  the  interval  his  heirs  would 
receive  $5,000  insurance  and  the  accumula- 
tions of  the  annuity  contributions.  At  age 
forty  these  would  amount  approximately  to 
$1,472,  at  age  fifty  to  $3,650,  at  age  sixty 
to  $6,875. 

It  goes  without  saying  that  a  teacher  would 
generally  increase  both  his  insurance  and  his 
annuity  contribution  with  advancing  salary. 

II.  The  arrangement  indicated  above, 
while  quite  favorable  to  the  teacher,  has  one 
feature  that  to  many  policyholders  is  in- 
congruous. His  insurance  of  $5,000  auto- 
matically terminates  on  a  specified  day  in  a 
given  year.  The  day  before  this  date  his 
death  would  bring  to  his  family  a  sum  equal 
to  the  face  of  the  policy,  the  day  after  it 
would  bring  nothing. 

The  situation  is  similar  to  that  of  a  fire 
insurance  policy  on  a  house  in  case  it  burns 
down  the  day  after  the  policy  expires. 

The  objection  can  easily  be  met  by  taking 
term  policies  to  terminate  at  different  dates 
from  sixty  to  seventy. 

For  example,  a  man  carrying  insurance  to 
the  amount  of  $10,000  could  arrange  to  have 
five  policies  of  $2,000  terminating  at  ages 
between  sixty  and  seventy .  As  insurance  pre- 
miums diminish  through  the  successive  termi- 
nation of  these  policies,  the  teacher  can  apply 
the  sums  so  released  to  increase  his  annuity. 
[741 


The  fact  is  that  with  increasing  age  a  man's 
economic  value  diminishes,  and  it  is  to  his 
interest  to  make  a  corresponding  decrease  in 
his  insurance,  just  as  fire  insurance  on  a  house 
diminishes  as  the  property  depreciates. 

To  meet  this  situation  the  Association  has 
designed  its  Decreasing  Insurance  Policy  and 
its  Teachers  Retirement  Deferred  Annuity 
Policy  in  such  a  way  that  the  insurance  pay- 
able under  the  one  diminishes  as  the  accumu- 
lation of  premiums  available  at  death  under 
the  other  increases. 

For  example,  a  teacher  at  age  thirty  secures 
a  Decreasing  Insurance  Policy.  The  amount 
of  insurance  remains  at  $10,000  until  he  is 
forty-one  years  of  age,  by  which  time  his 
accumulations  on  an  annuity  contract  have 
grown  to  the  point  where  they  supplement  very 
considerably  his  insurance  in  case  of  death. 
Beginning  at  age  forty-one,  the  amount  of  the 
policy  is  reduced  $300  each  year  until  at  age 
seventy  the  protection  is  reduced  to  $1,000 
at  which  it  remains  for  the  rest  of  his  life. 
In  the  meantime,  the  growth  of  the  annuity 
accumulation,  as  the  insurance  policy  dimin- 
ishes, provides  protection  until  the  time  of 
his  retirement.  The  monthly  cost  of  such  an 
insurance  policy  together  with  the  supple- 
mentary annuity  policy  would  be  about 
twenty  dollars  at  age  thirty.  (See  illustration 
on  page  38.) 


75 


VI 


Method  of  Obtaining  Policies 

The  procedure  in  obtaining  policies  is  simple 
and  adapted  to  the  conditions  of  the  teaching 
profession.  Full  information,  including  speci- 
men copies  of  policies  and  answers  to  all  en- 
quiries, will  be  furnished  upon  request. 

The  forms  to  be  filled  by  the  teacher  have 
been  made  brief  and  direct.  Upon  request, 
the  teacher  will  be  provided  with  a  form  for 
application  together  with  forms  for  a  state- 
ment of  physical  condition  by  the  applicant 
and  a  local  physician  acceptable  to  the  Asso- 
ciation. 

No  physical  examination  is  required  if  the 
application  is  for  a  deferred  annuity  or  a  life 
annuity. 


VII 
Withdrawal  from  Teaching 

The  Association  having  been  created  for  the 
benefit  of  men  and  women  employed  by 
colleges  and  universities,  how  should  it  treat 
those  who,  becoming  policy  holders  while  so 
employed,  afterwards  enter  other  occupations? 

Clearly,  no  one  who  enters  in  good  faith 
should  later  be  deprived  of  any  interest  he 
may  have  acquired,  but  clearly,  also,  one 
who  leaves  the  group  should  not  continue  to 
receive  all  of  the  special  privileges  granted  to 
that  group. 

The  fairest  plan  would  seem  to  be  to  give 
to  the  teachers  the  lowest  practicable  pre- 
mium rates,  and  to  charge  higher  premiums 
to  those  who  leave  the  profession,  the  bene- 
fits remaining  unaltered.  For  technical  rea- 
sons, it  seems  best  to  accomplish  the  same 
result  by  adding  a  small  percentage  to  the 
net  premium  rates  and  providing  for  a  reduc- 
tion on  each  premium  paid  while  the  policy- 
holder  remains  a  member  of  the  profession. 

The  reduction  referred  to  has  been  fixed 
generally  at  ten  per  cent  so  that  the  teacher  as 
long  as  he  remains  hi  the  profession,  will  have 
the  advantage  of  the  lowest  premiums  con- 
sistent with  sound  insurance;  if  he  leaves  the 
profession,  he  will  still  be  able  to  continue  his 
policy  at  a  cost  probably  less  than  he  would 
pay  elsewhere,  without  forfeiting  any  benefit 
he  has  already  acquired. 
[77] 


VIII 
Life  Annuities 

Equal  monthly  payments  throughout  the  life 
of  the  annuitant. 

First  annuity  payment,  one  month  after 
purchase. 

No  return  of  consideration  in  event  of  death. 

Table  showing  the  amount  of  monthly 
annuity  purchased  by  a  single  premium  of 
$1,000. 


This  form  of  policy  is  suggested  as  a  safe  medium 
for  the  investment  of  funds — such  as  the  proceeds 
of  life  insurance  policies  paid  to  surviving  wives  of 
teachers — where  a  guaranteed  life  income,  free  from 
the  ordinary  investment  cares,  is  desired. 


[78 


Life  Annuity  Rates 

Amount  of  Monthly  Annuity 

purchased  by  $1,000 

AGE 
at 

Monthly  Annuity,  First  Payment 
one  month  after  Purchase 

Purchase 

If  the  Annuitant 

If  the  Annuitant 

is  a  MAN 

is  a  WOMAN 

25 

$4.55 

$4.19 

26 

4.58 

4.21 

27 

4.62 

4.25 

28 

4.65 

4.28 

29 

4.69 

4.31 

30 

4.73 

4.35 

31 

4.78 

4.39 

32 

4.82 

4.43 

33 

4.87 

4.47 

34 

4.92 

4.51 

35 

4.97 

4.56 

36 

5.03 

4.61 

37 

5.09 

4.66 

38 

5.15 

4.71 

89 

5.22 

4.77 

40 

5.29 

4.83 

41 

5.36 

4.89 

42 

5.44 

4.96 

43 

5.53 

5.03 

44 

5.61 

6.11 

79 


Life  Annuity  Rates  (Continued) 

AGE 
at 
Purchase 

Monthly  Annuity,  First  Payment 
one  month  after  Purchase 

If  the  Annuitant 
is  a  MAN 

If  the  Annuitant 
is  a  WOMAN 

46 

$5.71 

$6.10 

46 

6.81 

6.27 

47 

6.01 

6.86 

48 

6.02 

6.46 

49 

6.14 

6.66 

60 

6.26 

6.66 

61 

6.40 

6.77 

62 

6.64 

6.80 

63 

6.60 

6.01 

64 

6.86 

6.16 

66 

7.02 

6.20 

66 

7.20 

6.44 

67 

7.40 

6.60 

68 

7.60 

6.77 

60 

7.82 

6.06 

60 

8.06 

7.16 

61 

8.81 

7.86 

62 

8.68 

7.58 

68 

8.87 

7.81 

64 

0.18 

8.06 

66 

0.62 

8.88 

66 

0.87 

8.62 

67 

10.26 

8.08 

68 

10.67 

0.26 

60 

11.11 

0.62 

70 

11.60 

10.00 

80] 


J 


UNIVERSITY  OF  CALIFORNIA  LIBRARY 
BERKELEY 

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LD  21-100m-7,'52(A2528sl6)476 


UNIVERSITY  OF  CALIFORNIA  LIBRARY 


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